The dollar lurked near a seven-week peak on Thursday on more clues given by Federal Reserve officials that the U.S. central bank is seriously considering raising interest rates this month.
Federal Reserve Governor Lael Brainard said it will be "appropriate soon" for the Fed to raise rates, as the global economy improves and given a solid U.S. recovery mean .
The dollar index, which measures the greenback against a basket of six major currencies, nudged slightly higher to 102.
On Tuesday, two influential Fed policymakers, William Dudley and John Williams, encouraged dollar bulls with comments that suggested rate-setters are worried about waiting too long in the face of pending economic stimulus from Washington.
USD/JPY was up to a two-week high at 114.33 driven by a jump in US Treasury yields.
Non-farm payrolls data next Friday should be key in determining the possibility of a March rate hike. Sterling and the Canadian dollar slipped against the greenback to their lowest levels since Jan. 20.
Canada's central bank held rates steady on Wednesday, striking a cautious tone on the "significant uncertainties" facing the economy.
USD/CAD hovered close to a six-week high, inching up to 1.3375. GBP/USD sank to a six-week trough by 1.2258 weighed by sluggish economic numbers.
EUR/USD fell more than 0.2 percent to 1.0521. The common currency dipped to a one-week low of 1.0514 against the buck on Wednesday.
The Aussie struggled after a weaker-than-expected trade figure, dipping more than half a percentage point to 0.7612.
