Investing.com - The U.S. dollar was slightly lower against most of its major counterparts on Thursday, as strong demand at euro zone debt auctions bolstered risk appetite, but investors remained cautious as talks on restructuring Greece’s debts continued for a second day.
During European afternoon trade, the dollar was lower against the euro, with EUR/USD rising 0.32% to hit 1.2905.
The euro found support earlier following successful auctions of Spanish and French government debt.
Spain auctioned more than the targeted amount of EUR4.5 billion, selling EUR6.6 billion of bonds earlier.
The yield on the four-year bond was 4%, up from 3.9% at the last auction, while yields on the nine and 10-year bond were lower, at 4.5%, down from 5.1% at the previous auction, and 5.4% respectively, against 6.98% in December.
France sold EUR8 billion of medium and long term government debt at lower yields to previous auctions.
But investors remained jittery as talks between Greek Prime Minister Lucas Papademos and the country’s creditors continued, after breaking down last week amid disagreements over how much money investors will lose by swapping their bonds.
Meanwhile, Fitch’s said that it expected its ratings review of six euro zone countries would result in downgrades of one to two notches in most cases. The review is set to be completed at the end of January.
The greenback was also lower against the pound, with GBP/USD easing up 0.10% to hit 1.5454.
In the U.K., a report by lender Nationwide showed that its consumer confidence index dropped to 38 in December from 40 the previous month. This was close to October's reading of 36, the lowest level since the survey began in 2004.
Elsewhere, the greenback was lower against the yen and the Swiss franc, with USD/JPY dipping 0.03% to hit 76.76 and USD/CHF shedding 0.40% to hit 0.9357.
The greenback was also weaker against its Canadian cousin but advanced against the Australian and New Zealand dollars, with USD/CAD shedding 0.37% to hit 1.0073, AUD/USD slipping 0.18% to hit 1.0415 and NZD/USD shedding 0.36% to hit 0.8013.
A report earlier showed that Australia's economy lost 29,300 jobs in December, confounding expectations for a gain of 10,000. The country’s unemployment rate held steady at 5.2%.
A separate report showed that consumer price inflation in New Zealand fell unexpectedly in the fourth quarter.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.22% to hit 80.44.
Later Thursday, the U.S. was to publish official data on building reports and housing starts as well as a report on consumer price inflation. The country was also to release government data on unemployment claims and a separate report on manufacturing activity in the Philadelphia area.
During European afternoon trade, the dollar was lower against the euro, with EUR/USD rising 0.32% to hit 1.2905.
The euro found support earlier following successful auctions of Spanish and French government debt.
Spain auctioned more than the targeted amount of EUR4.5 billion, selling EUR6.6 billion of bonds earlier.
The yield on the four-year bond was 4%, up from 3.9% at the last auction, while yields on the nine and 10-year bond were lower, at 4.5%, down from 5.1% at the previous auction, and 5.4% respectively, against 6.98% in December.
France sold EUR8 billion of medium and long term government debt at lower yields to previous auctions.
But investors remained jittery as talks between Greek Prime Minister Lucas Papademos and the country’s creditors continued, after breaking down last week amid disagreements over how much money investors will lose by swapping their bonds.
Meanwhile, Fitch’s said that it expected its ratings review of six euro zone countries would result in downgrades of one to two notches in most cases. The review is set to be completed at the end of January.
The greenback was also lower against the pound, with GBP/USD easing up 0.10% to hit 1.5454.
In the U.K., a report by lender Nationwide showed that its consumer confidence index dropped to 38 in December from 40 the previous month. This was close to October's reading of 36, the lowest level since the survey began in 2004.
Elsewhere, the greenback was lower against the yen and the Swiss franc, with USD/JPY dipping 0.03% to hit 76.76 and USD/CHF shedding 0.40% to hit 0.9357.
The greenback was also weaker against its Canadian cousin but advanced against the Australian and New Zealand dollars, with USD/CAD shedding 0.37% to hit 1.0073, AUD/USD slipping 0.18% to hit 1.0415 and NZD/USD shedding 0.36% to hit 0.8013.
A report earlier showed that Australia's economy lost 29,300 jobs in December, confounding expectations for a gain of 10,000. The country’s unemployment rate held steady at 5.2%.
A separate report showed that consumer price inflation in New Zealand fell unexpectedly in the fourth quarter.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.22% to hit 80.44.
Later Thursday, the U.S. was to publish official data on building reports and housing starts as well as a report on consumer price inflation. The country was also to release government data on unemployment claims and a separate report on manufacturing activity in the Philadelphia area.