Euro briefly extends gains vs dollar after jobless data

NEW YORK: The euro briefly extended gains versus the dollar on Thursday after US data showed new claims for unemployment benefits declined for a second straight week.

The euro rose to as high as $1.3642 versus $1.3632 prior to the release of the report, according to Reuters data. The rise, however, swiftly prompted profit-taking and the euro last traded at $1.3624, up 0.6 percent on the day.

"We rallied a lot going into the data but the euro is taking its cue from US equity prices rather than US data and could go to $1.3650 or higher with the tone still risk on," said Boris Schlossberg, director of FX research at GFT in Jersey City.

"What we're seeing here is very short term profit taking," he said.

Copyright Reuters, 2011