Investing.com - The dollar was higher against the euro on Thursday amid expectations for a rate cut from the European Central Bank at its policy meeting later in the session.
During European late morning trade, the dollar pushed higher against the euro, with EUR/USD sliding 0.13% to 1.3161.
Speculation over a rate cut intensified after recent weak economic data indicated that the economic outlook for the euro zone was deteriorating.
Earlier Thursday, data showed that the euro zone’s final manufacturing purchasing managers’ index for April fell to 46.7, from 46.8 in March and a four month low.
Germany’s final manufacturing PMI dropped to 48.1 from 49.0 in March.
The dollar was steady near two-and-a-half month lows against the pound, with GBP/USD easing up 0.12% to 1.5573.
Sterling found support after data showed that the contraction in the U.K. construction sector slowed in April. The construction PMI rose to 49.4 from 47.2 in March, better than expectations for a reading of 48.0.
The dollar slipped lower against the yen, with USD/JPY losing 0.13% to trade at 97.22.
The dollar remained under pressure after weak private sector employment and manufacturing data on Wednesday fuelled concerns over the outlook for the economy ahead of Friday’s U.S. nonfarm payrolls report.
The Federal Reserve recommitted to its USD85 billion a month asset purchase program following Wednesday’s policy meeting and indicated that it could increase or decrease the monthly amount, depending on the outlook for inflation and employment.
The dollar edged higher against the Swiss franc, with USD/CHF rising 0.18% to 0.9288.
The greenback was broadly higher against its Australian, New Zealand and Canadian counterparts, with AUD/USD down 0.39% to 1.0235, NZD/USD falling 0.27% to 0.8475 and USD/CAD edging down 0.10% to 1.0071.
The Australian dollar weakened after official data showed that domestic building approvals fell 5.5% in March, undermining the view that lower interest rates were boosting the housing sector.
Elsewhere, the final reading of China’s HSBC manufacturing PMI dropped to 50.4 in April from 51.6 in March and slightly lower than the preliminary reading of 50.5, as new export orders fell.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, eased up 0.12% to 81.75.
The U.S. was to publish the weekly government report on initial jobless claims and official data on the trade balance later in the trading day.
During European late morning trade, the dollar pushed higher against the euro, with EUR/USD sliding 0.13% to 1.3161.
Speculation over a rate cut intensified after recent weak economic data indicated that the economic outlook for the euro zone was deteriorating.
Earlier Thursday, data showed that the euro zone’s final manufacturing purchasing managers’ index for April fell to 46.7, from 46.8 in March and a four month low.
Germany’s final manufacturing PMI dropped to 48.1 from 49.0 in March.
The dollar was steady near two-and-a-half month lows against the pound, with GBP/USD easing up 0.12% to 1.5573.
Sterling found support after data showed that the contraction in the U.K. construction sector slowed in April. The construction PMI rose to 49.4 from 47.2 in March, better than expectations for a reading of 48.0.
The dollar slipped lower against the yen, with USD/JPY losing 0.13% to trade at 97.22.
The dollar remained under pressure after weak private sector employment and manufacturing data on Wednesday fuelled concerns over the outlook for the economy ahead of Friday’s U.S. nonfarm payrolls report.
The Federal Reserve recommitted to its USD85 billion a month asset purchase program following Wednesday’s policy meeting and indicated that it could increase or decrease the monthly amount, depending on the outlook for inflation and employment.
The dollar edged higher against the Swiss franc, with USD/CHF rising 0.18% to 0.9288.
The greenback was broadly higher against its Australian, New Zealand and Canadian counterparts, with AUD/USD down 0.39% to 1.0235, NZD/USD falling 0.27% to 0.8475 and USD/CAD edging down 0.10% to 1.0071.
The Australian dollar weakened after official data showed that domestic building approvals fell 5.5% in March, undermining the view that lower interest rates were boosting the housing sector.
Elsewhere, the final reading of China’s HSBC manufacturing PMI dropped to 50.4 in April from 51.6 in March and slightly lower than the preliminary reading of 50.5, as new export orders fell.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, eased up 0.12% to 81.75.
The U.S. was to publish the weekly government report on initial jobless claims and official data on the trade balance later in the trading day.