The euro rose and on the other hand the dollar fell when disappointing data heightened worries the US economic recovery is stalling. Concerns about euro zone debt and liquidity problems eased further on Thursday.
Amelia Bourdeau, senior currency strategist at UBS in Stamford, Connecticut said: "There’s a relief rally in the euro because we have gotten through the euro zone market events over the past 48 hours. The euro zone seemed to navigate those events successfully. It’s a holiday weekend, liquidity is low and people now are betting tomorrow’s jobs numbers will be worse than expected. It is all helping the euro."
The euro advanced 2.4 percent to $1.2521. The dollar was down 0.9 percent at 87.64 yen. Against the yen, the euro was up 1.4 percent at 109.74 yen.