• The U.S. dollar held around a nearly 14-month low against the euro on Thursday on growing expectations of more hawkish monetary policies in Europe and Canada and on scepticism of another Federal Reserve interest rate increase this year.
The euro jetted to $1.1444 EUR=, its highest since May 11, 2016, with European Central Bank sources' attempt on Wednesday to moderate the message from Tuesday's speech by President Mario Draghi falling largely on deaf ears.
The speech convinced markets that the central bank was preparing to start withdrawing its own emergency stimulus for the euro zone economy later this year.
The euro was last 0.5 percent higher against the dollar at $1.1437. The dollar index, which measures the greenback against a basket of six major rivals, was down 0.4 percent at 95.597.
The dollar hit a more than one-month high of 112.92 yen before easing from that level to last trade 0.2 percent lower against the Japanese currency at 112.05.
• Meanwhile, comments from Bank of England Governor Mark Carney and two top Bank of Canada policymakers on Wednesday ramped up expectations for interest rate increases from those central banks.
• Analysts also said lingering doubts among traders that the Fed would be able to raise interest rates again this year hurt the dollar, which is expected to benefit from such increases.
• Sterling rose above $1.30 for the first time in five weeks on Thursday, with investors taking stock of increasing signs the Bank of England is looking at tightening monetary policy.
• The U.S. economy slowed less than feared in the first quarter due largely to a jump in consumer spending, providing a slightly more encouraging outlook for growth this year.
Gross domestic product increased at a 1.4 percent annual rate instead of the 1.2 percent reported last month, the Commerce Department said in its final assessment for the period on Thursday.
The reading was the worst since the second quarter of 2016 but above analysts' expectations, easing fears the economy had been hobbled at the start of this year.
• President Donald Trump on Thursday promoted a "golden era" of the U.S. energy business by seeking to assert power abroad through a boost in natural gas, coal and petroleum exports.
"We are here today to unleash a new American energy policy," Trump said at an event at the Department of Energy attended by oil and coal executives and union members who build pipelines. "We will export American energy all around the world."
• U.S. President Donald Trump will use the premise of a national security review of the U.S. steel industry to demand action by the Group of 20 leaders to reduce excess capacity and other distortions in the global steel market, White House economic adviser Gary Cohn said on Thursday
• The United States plans to sell Taiwan $1.42 billion in arms, the first such sale under the administration of Donald Trump and a move sure to anger China, whose help the president has been seeking to rein in North Korea.
• China has built new military facilities on islands in the South China Sea, a U.S. think tank reported on Thursday, a move that could raise tensions with Washington, which has accused Beijing of militarizing the vital waterway.
• Deutsche Bank's (DBKGn.DE) external counsel in Washington, D.C. rejected on Thursday demands by U.S. House Democrats to provide details of President Donald Trump's finances, citing privacy laws.
The response by Deutsche's lawyers at Akin Gump Strauss Hauer & Feld is the second rejection by the bank for information on Trump's finances.
• The Federal Reserve said on Thursday it would release its semiannual monetary policy report on July 7, five days before Fed Chair Janet Yellen testifies to Congress.
• U.S. Treasury Secretary Steven Mnuchin said on Thursday that the United States was supportive of the International Monetary Fund's mission, although it always wanted to make sure taxpayer funds were spent wisely.
• Oil futures ended slightly higher on Thursday, extending crude's rally to a sixth straight session after a decline in weekly U.S. crude production temporarily eased concerns about deepening oversupply.
U.S. crude futures CLc1 settled up 19 cents at $44.93 a barrel after hitting a two-week high of $45.45 in late-morning trading. The market retreated from highs after Societe Generale became the third investment bank to cut its outlook for oil prices in the last week.
Crude prices hit a 10-month low last week but have rebounded more than 5 percent, stretching their bull run to the longest since April. Brent crude futures LCOc1 ended up 11 cents at $47.42 a barrel, after touching a two-week high of $48.03 earlier in the session.
• SocGen on Thursday estimated U.S. crude futures would average $47.50 a barrel in the third quarter, down from previous expectations for $55.
Reference: Reuters
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