The euro was a touch firmer today against the dollar at $1.3014 after falling to a five-week low yesterday of $1.2960.
The single European currency has now shed more than six cents from record high scaled last December.
So far this year, expectations of strong US growth and higher US interest rates have helped the dollar arrest a three-year slide on worries about the United States's ability to fund its swelling current account and budget deficits.
The dollar hit a six-week high versus the yen today after US inflation data increased expectations the US central bank may raise interest rates more aggressively.
The dollar was up 0.3 per cent at 106.35 yen earlier, on track for a sixth straight day of gains.
Dealers said the dollar was still being buoyed by data yesterday showing US consumer prices rising at the fastest year-on-year pace since 2002.
The figures had particular resonance, coming just a day after the US central bank raised interest rates for a seventh consecutive time and warned of inflationary pressures ahead.