The US dollar continued to lose more heavily in the European session following readings of US inflation data strengthening expectations for slow tightening by the Federal Reserve (Fed).
The latest data published on Thursday showed price pressures continued to ease in the country, rising 6.5% in December from 7.1% the previous month.
Some central bank policymakers have also started to change the 'tone' in their policy stance, with Philadelphia Fed President Patrick Harker seeing a 25 basis point hike as appropriate for future decisions.
This included Atlanta Fed President Raphael Bostic saying such an increase was possible if talks with businesses were consistent with slowing inflation.
As a result, major currencies continued to take advantage of the weakness of the US dollar to remain traded stronger in the European session.
Among them was the yen which extended its rise to a 7-month high, while also getting a boost from the news about the Bank of Japan (BOJ).
The central bank will reportedly review the impact of its monetary policy at a meeting next week, giving investors hope for additional BOJ measures in the bond market.
Meanwhile, the euro strengthened to an almost 9-month high while the pound traded at its strongest in 3 weeks after receiving support from positive UK gross domestic product (GDP) data.
The antipodean currency, the Aussie and New Zealand dollars continued their gains stalled in the previous session to continue strengthening at the highest level.
At the time of writing, the dollar index, which measures the greenback's strength against a group of major currencies, was trading around 102.05.
