The euro rose to a three-week high against the U.S. dollar on Thursday as some traders shut down broad bets against the common currency ahead of the first round of the French presidential elections on Sunday.
The dollar remained weak against a basket of major currencies as the latest data on domestic jobless claims and business activity in the mid-Atlantic region did not change traders’ views of modest U.S. economic growth and low inflation.
The euro was up 0.52 percent against the dollar at $1.0765 after hitting a three-week high of $1.0777 earlier in the session.
The dollar index, which tracks the greenback against a basket of six major rivals, has fallen in recent weeks on weaker-than-expected economic data and worries about the Trump administration’s ability to get tax and fiscal legislation passed.
The dollar index was down 0.25 percent at 99.489 after hitting a more than three-week low of 99.374 earlier in the session.