Investing.com - The euro turned lower against the U.S. dollar on Thursday, as data showing that the number of people filing unemployment assistance in the U.S. last week fell to a five-week low sent the greenback broadly higher.
EUR/USD hit 1.0911 during U.S. morning trade, the session low; the pair subsequently consolidated at 1.0917, declining 0.46%.
The pair was likely to find support at 1.0765, the low of March 23 and resistance at 1.1116, the high of March 5.
In a report, the U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending March 21 declined by 9,000 to 282,000 from the previous week’s total of 291,000.
Analysts had expected initial jobless claims to fall by 1,000 to 290,000 last week.
Another report showed that the U.S. service sector expanded at the fastest rate this month since September. Research group Markit said the preliminary reading of its services purchasing managers index rose to 58.6 from a final reading of 57.1 in February.
The dollar had been under broad selling pressure since the Federal Reserve indicated last week that it may raise interest rates more gradually than markets had expected.
The euro found support earlier in the session, after data showed that the Gfk German consumer climate index was set to rise to 10.0 in April from a reading of 9.7 the previous month, compared to expectations for an uptick to 9.8.
But investors remained cautious as Greece failed in a bid on Wednesday to secure a quick cash payment from the euro zone rescue fund to help stave off potential bankruptcy next month.
Athens had appealed for the European Financial Stability Facility to return €1.2 billion it said it had overpaid when it transferred bonds intended for bank recapitalization this month.
The Greek government is expected to present a detailed list of proposed reforms to its eurozone partners by next Monday.
The euro was also lower against the pound, with EUR/GBP edging down 0.13% to 0.7362.
In the U.K., the Office for National Statistics reported on Thursday that retail sales increased 0.7% last month, above forecasts for a gain of 0.4%.
Core retail sales, which exclude automobile sales, rose 0.7% last month, compared to forecasts for a 0.4% rise, after falling 0.3% in January.
Separately, the Confederation of British Industry said that its index of realized sales rose to 18 in March from 1 the previous month, exceeding expectations for a reading of 15.