Investing.com - The dollar pushed higher against the other major currencies on Thursday, heloed by the release of upbeat U.S. economic reports, although political tensions in Washington continued to weigh.
The greenback found support after data showed that the number of people who filed for unemployment assistance in the U.S. last week fell more than expected.
A separate report showed that manufacturing activity in the Philadelphia region declined less than expected this month.
The dollar had weakened after the minutes of the Federal Reserve’s July policy meeting released on Wednesday showed that members of the central bank remain divided over the need to raise interest rates further this year, citing low inflation.
Markets were also jittery after U.S. President Donald Trump disbanded two high-profile business advisory councils, sparking concerns over the administration’s ability to implement his economic reforms.
The move came after several chief executives quit in protest over his remarks blaming weekend violence in Virginia not only on white nationalists but also on anti-racism activists who opposed them.
EUR/USD declined 0.59% to 1.1696, the lowest since July 29, after the minutes of the European Central Bank’s latest meeting indicated concerns over the strength of the single currency.
Data earlier showing that euro zone inflation was unchanged in July.
The pound turned lower, with GBP/USD down 0.13% at 1.2873, re-approaching the previous session’s one-month trough of 1.2843 after the UK Office for National Statistics said retail sales rose slightly more than expected in July.
Elsewhere, USD/JPY held steady at 110.23, while USD/CHF rose 0.21% to 0.9678.
The Australian dollar was little changed, with AUD/USD at 0.7922, while NZD/USD slipped 0.19% to 0.7301.
Earlier Thursday, the Australian Bureau of Statistics said the number of employed people increased by 27,900 last month, beating expectations for a 20,000 gain.
The unemployment rate hit 5.6% in July from 5.7% in June, in line with market expectations. June’s figure was upwardly revised from a previously estimated rate of 5.6%.
Meanwhile, USD/CAD edged up 0.12% to trade at 1.2634, off a nearly two-week low of 1.2588 hit overnight, after Statistics Canada said manufacturing sales dropped 1.8% in June, compared to expectations for a decline of 1.0%.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.50% at 93.87, close to the previous session’s nearly three-week high of 94.06.