The dollar held near a two-week peak against the yen and below $1.19 per euro on Thursday, a broad recovery since Tuesday helping it end August close to flat against its major peers.

The biggest mover among the G10 group of developed economy currencies was the New Zealand dollar, down 0.6 per cent against its US equivalent after a poor batch of business confidence data.

The greenback gained a quarter of a per cent against the yen and was roughly steady at $1.1890 per euro in early trade in Europe, compared to a 2.5 year high for the single currency of $1.2069 hit on Tuesday.

The dollar has weakened 0.4 per cent against the euro in the past month and is 0.2 per cent stronger against the yen.

“The euro’s retreat back below 1.19 indicates that investors have probably become more prudent about driving the common currency to fresh year-to-date highs,” analysts from said this morning.