The U.S dollar fell broadly on Thursday versus most major rivals on year-end position adjustment in thin, illiquid trade which prompted exaggerated price movements. Trade was extremely light, with Tokyo and several European countries on holiday and many banks on skeleton staff ahead of the New Year holidays.
Uncertainty remains over whether the greenback will continue its December rally into the New Year, and today's U.S. unemployment claims data could decide the issue. The jobless data will be a hugely important number. Reports on the labor market are being scrutinized closely as investors try to determine when job growth might resume. Any number below the forecast will likely to push the USD higher, through $1.4200 toward $1.4000. A weak result would be a real disappointment after the run of positive figures we've seen. The market may have to rethink the Fed timing again, and that could see the euro back up at $1.4700
