Investing.com - The dollar strengthened against most major currencies on Thursday mainly due to weak manufacturing data out of Europe.
A sluggish private-sector jobs report in the U.S. failed to convince investors the Federal Reserve would be more likely to stimulate the economy via quantitative easing, which are bond buybacks from banks that pump liquidity into the financial sector to spur recovery, weakening in the greenback in the process.
The euro was lower against the dollar, with EUR/USD down 0.08% and trading at 1.3147.
In Europe, a eurozone manufacturing purchasing managers’ index fell to a 34-month low of 45.9 in April, missing estimates for 46.0.
Factory output in Europe's largest economy, Germany, was off as well, with its manufacturing PMI dropping to 46.2 in April from 46.3 in March and below market estimates for 46.4.
Meanwhile in the U.S., payroll processer ADP said that private-sector, non-farm employment rose by 119,000 jobs in April, the lowest gain since last September, down from a 201,000 rise in March.
Analysts were hoping to see a figure around 177,000 in April.
With unemployment rates elevated across Europe, talk that the European Central Bank may consider stimulating the economy via monetary easing weakened the euro.
However, the disappointing ADP report in the U.S. failed to convince investors the Fed would consider hinting at easing any time soon, which sparked demand for the greenback and a sell-off among many major currencies.
The greenback, meanwhile, was up against the pound, with GBP/USD down 0.08% and trading at 1.6187.
The U.S. currency was up against the yen, with USD/JPY trading up 0.01% at 80.15, and up against the Swiss franc, with USD/CHF up 0.10% and trading at 0.9142.
The dollar was up against its counterparts in Canada, Australia and New Zealand, with USD/CAD up 0.01% at 0.9865, AUD/USD down 0.35% at 1.0296 and NZD/USD down 0.60% at 0.8058.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.09% at 79.28.
Later Thursday, all eyes will be on the European Central Bank and press conference afterwards, when investors will listen for hints to changes to monetary policy.
In the U.S., markets will keep an eye on weekly initial jobless claims.
A sluggish private-sector jobs report in the U.S. failed to convince investors the Federal Reserve would be more likely to stimulate the economy via quantitative easing, which are bond buybacks from banks that pump liquidity into the financial sector to spur recovery, weakening in the greenback in the process.
The euro was lower against the dollar, with EUR/USD down 0.08% and trading at 1.3147.
In Europe, a eurozone manufacturing purchasing managers’ index fell to a 34-month low of 45.9 in April, missing estimates for 46.0.
Factory output in Europe's largest economy, Germany, was off as well, with its manufacturing PMI dropping to 46.2 in April from 46.3 in March and below market estimates for 46.4.
Meanwhile in the U.S., payroll processer ADP said that private-sector, non-farm employment rose by 119,000 jobs in April, the lowest gain since last September, down from a 201,000 rise in March.
Analysts were hoping to see a figure around 177,000 in April.
With unemployment rates elevated across Europe, talk that the European Central Bank may consider stimulating the economy via monetary easing weakened the euro.
However, the disappointing ADP report in the U.S. failed to convince investors the Fed would consider hinting at easing any time soon, which sparked demand for the greenback and a sell-off among many major currencies.
The greenback, meanwhile, was up against the pound, with GBP/USD down 0.08% and trading at 1.6187.
The U.S. currency was up against the yen, with USD/JPY trading up 0.01% at 80.15, and up against the Swiss franc, with USD/CHF up 0.10% and trading at 0.9142.
The dollar was up against its counterparts in Canada, Australia and New Zealand, with USD/CAD up 0.01% at 0.9865, AUD/USD down 0.35% at 1.0296 and NZD/USD down 0.60% at 0.8058.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.09% at 79.28.
Later Thursday, all eyes will be on the European Central Bank and press conference afterwards, when investors will listen for hints to changes to monetary policy.
In the U.S., markets will keep an eye on weekly initial jobless claims.