The dollar was steady versus other majors Thursday morning in New York, staying near a 22-year high versus the sterling amid deepening concerns that the global recession has intensified.
With traders expressing little hope that a quick recovery is on the horizon, the dollar and yen have strengthened of late due to increased risk aversion.
Economic data is likely to attract some attention on Thursday, with the Labor Department due to release its weekly jobless claims report, while the Commerce Department is due to release its report on housing starts in the month of December.
The dollar has skyrocketed versus the slumping sterling over the past weeks, culminating in yesterday's 22-year high of 1.3617. The dollar has since leveled off to trade at near 1.3800 Thursday morning.
In economic news from the UK, results of the January 2009 Industrial Trends Survey by the Confederation of British Industry's or CBI showed that manufacturers in the UK expect sharp fall in output over the next three months.
The dollar was stable versus the euro Thursday morning, hovering near 1.3000 after pulling back from a 6-week high of 1.2823. The buck has picked up 10 cents over the past two weeks.
Thursday, the Eurostat said Eurozone's industrial new orders dropped 4.5% month-on-month in November, after falling a revised 5.7% in October. Initially the October decline was reported as 4.7%. Economists had predicted a decline of 5% for November.
The buck consolidated its attempts to recover from yesterday's 13-year low against the yen Thursday morning. The buck held steady near 89 in early dealing, having stabilized since hitting a 1995 low of 87.08 on technical trading.
The Bank of Japan's Board of Governors voted unanimously to keep the overnight call rate unchanged at 0.10 percent, the BOJ said on Thursday at the conclusion of its two-day monetary policy meeting in Tokyo.
The bank also lowered its median view for real GDP in the current fiscal year, now forecasting that it will contract 1.8 percent versus expectations in October for a 0.1 percent expansion. The next fiscal year is expected to see GDP shrink 2 percent, the bank added, versus the 0.6 percent expansion predicted in October.

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Published: 2009-01-22 00:16:00


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