Investing.com - The dollar drifted lower against the euro on Thursday despite positive data out of the U.S., as investors let the greenback slide after the Federal Reserve a day earlier said interest rates will remain low for the foreseeable future.
In U.S. trading, EUR/USD was up 0.19% at 1.3620, up from a session low of 1.3584 and off a high of 1.3643.
The pair was likely to find support at 1.3513, Monday's low, and resistance at 1.3677, the high from June 6.
The Federal Reserve on Wednesday left benchmark interest rates unchanged at 0.00-0.25% and cut its monthly bond-buying program to $35 billion from $45 billion in a widely expected move.
Still, the dollar weakened after the Fed didn't hint at how much time will elapse after its monthly stimulus program concludes and when interest-rate hikes begin, with investors concluding that the Fed will take its time to tighten policy.
"It likely will be appropriate to maintain the current target range for the federal funds rate for a considerable time after the asset purchase program ends, especially if projected inflation continues to run below the Committee's 2 percent longer-run goal, and provided that longer-term inflation expectations remain well anchored," the Fed said in its Wednesday policy statement.
Elsewhere, U.S. data beat expectations.
In a report, the Federal Reserve Bank of Philadelphia said that its manufacturing index rose to an eight-month high of 17.8 in June from 15.4 in May. Analysts had expected the index to dip to 14.0 in June.
The data came after the U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending June 14 declined by 6,000 to 312,000 from the previous week’s revised total of 318,000. Analysts had expected jobless claims to fall by 4,000 to 314,000 last week.
Elsewhere, the euro was down against the pound, with EUR/GBP down 0.12% at 0.7992, and up against the yen, with EUR/JPY up 0.16% at 138.74.
On Friday, the euro zone is to release data on the current account, while the euro area’s Economic and Financial Affairs Council is to hold meetings in Brussels.