Dollar revives, Sterling Touches Two Months Low

The dollar added about 0.1 percent to 109.11 yen JPY=D4, having lost 0.5 percent overnight, after managing to contain losses on Wednesday in Asia following Trump's comments. 

The dollar index .DXY, which tracks the greenback against a basket of six major peers, also gained 0.1 percent to 93.226 on Thursday, following the previous day's 0.4 percent slide.

Also undermining the dollar were Trump's threats to end the North American Free Trade Agreement, after three-way first-round talks that ended on Sunday failed to bridge differences.

The Canadian dollar CAD=D4 strengthened about 0.1 percent to C$1.2543 per dollar and the Mexican peso MXN= was little changed at 17.68. 

Investors are also keeping a close eye on a central banking conference in Jackson Hole, Wyoming, which begins on Thursday, where Federal Reserve Chair Janet Yellen and European Central Bank President Mario Draghi are both due to speak, although new policy messages are seen as unlikely.

The euro EUR=EBS was steady at $1.1807, after climbing 0.4 percent on Wednesday on strong German and French manufacturing and services sector surveys. 

Sterling GBP=D4 touched a two-month low on Thursday and was trading down 0.1 percent from Wednesday's close at $1.2789. 

Bitcoin BTC=BTSP inched up 0.6 percent to $4,131, but remained off its all-time high of $4,480 hit a week ago. It is up 331 percent this year. 

In commodities, oil prices crept lower as rising U.S. oil output dampened some of the optimism that had accompanied eight straight weeks of declines in U.S. crude inventories. 

U.S. crude CLc1 slipped 0.1 percent to $48.37 a barrel, after rising 2.2 percent over the previous two sessions. 

Global benchmark Brent LCOc1 was unchanged at $52.57, after climbing 1.8 percent in the past two days. 

Gold XAU= was also steady at $1,289.66 an ounce, retaining Wednesday's 0.4 percent jump.