The euro dropped to a one-week weak point versus sterling on Thursday after the European Union’s chief Brexit negotiator said the bloc was ready to propose its “most ambitious” free trade deal ever to the UK.
The single currency slid 0.2 percent to a one-week trough versus its British peer to 89.73 pence, extending its declines from the previous session to 1.3 percent.
The dollar index wobbled not far from a four-week trough of 94.434 scaled on Tuesday, hurt by sterling’s rally.
The greenback was steady at 111.63 yen after surging 0.4 percent in the previous session.
The euro was stable at $1.170 after rising 0.1 percent on Thursday.
New Zealand’s dollar slumped as much as 0.89 percent to $0.6652 after business confidence dropped to a lowest level in 10 years in August.
The Chinese yuan lost 0.2 percent to 6.8330 a dollar in offshore trading.