US Dollar
TheUS Dollar traded mixed against its major peers, adding gains against the Japanese yen and the Australian dollar. Yesterday, FED Chair, Janet Yellen testified before the House Financial Services Committee and reiterated that it is unlikely that the Fed will raise its interest rate in "the next couple of FOMC meetings" as the labor market is improving but inflation and wage growth are too low. A rate hike in June is seen less likely. The FED's policy is in contrast to those of its counterparts in Europe, China and Japan, as they boost their economies with loose monetary policy.
Euro
The euro traded almost flat against the greenback awaiting a number of European economic data to be released today.
The British pound
The British pound rose during the Asian session on Thursday, to its highest level in eight weeks against the US dollar at 1.5551, before the release of figures showing the growth of the British economy during the fourth quarter.
Australian dollar
The Australian dollar declined versus the U.S. dollar after yesterday's gains and retreated from a one-month high. Private Capital Expenditure declined -2.2% in the fourth quarter. Analysts expected a decline of -1.2%. Data for the previous quarter was revised up from +0.2% to +0.6%.
Japanese yen
The Japanese yen traded lower against the greenback on Thursday on comments from BOJ board member Koji Ishida, one of the four who voted against further easing, that further changes to the monetary policy should not only aim at reaching the 2% inflation-target but to ensure long-term economic stability. He further added that it is too early to discuss an exit from the monetary easing but the BOJ should be careful in extending the monetary stimulus.