Asian Market Update:

The dollar held near a seven-week high against the euro on Thursday as investors awaited several upcoming U.S. data that could further cool expectations for the Federal Reserve to trim interest rates later in the year. Revised U.S. data on first-quarter growth later in the session precedes several key indicators on Friday, including the May payrolls report and a snapshot of manufacturing activity that will show whether the economy is picking up.

The dollar has clawed back from a record low hit against the euro in April and a 26-year low against the pound as worries about the economy's health have eased, reducing speculation of lower rates that would erode the U.S. currency's yield appeal. Traders said that with many market players still holding hefty positions favouring the euro and sterling, the dollar may have more room to rebound if the upcoming data proves to be upbeat.

The euro was steady near $1.3430 after falling to $1.3406 the previous day, its weakest since mid-April. A break of $1.34 would likely trigger a deeper pull-back in the euro, traders said.

The dollar slipped to 121.51 yen from near 121.60 yen in late New York trade but was still near the 3-1/2-month high of 121.89 yen struck last week. The single European currency also dipped against the yen to 163.20 yen from 163.40 yen, holding near the all-time peak of 164.02 yen hit last week.

Minutes from the Fed's May meeting released on Wednesday showed that policymakers felt inflation was their main worry and that growth should recover as the year drags on. The Fed has held rates steady for nearly a year at 5.25 percent even as investors had expected the housing market

troubles to lead to a rate cut, and with the European Central Bank and Bank of England are seen raising rates further.

The yen gave up brief gains made on Wednesday after a 6.5 percent plunge in the Shanghai stock market stoked worries that market players would reverse carry trades funded in the low-yielding yen if the sell off reverberated to other markets around the world.

Technicals:

EURUSD
Prices are expected to remain steady above the 1.3405 support. However, the underlying tone is weak with a later break looked for. Resistance is up to 1.3460.

GBPUSD
Prices are steady ahead of important economic data. Support is at 1.9730 and resistance at 1.9828

USDJPY
Choppy price action remains capped beneath the 121,85 barrier, a break is not looked for. Some downside drifting is expected with the 121.30 low to attract.

EURJPY
Intraday price action remains choppy with downside pressure expected to increase. Support is at 162.95 with a break opening 162.45. Resistance is at 163.45 with a break exposing 163.70.

AUDUSD

Prices have reached the 0.8236 high of 24 May but the run is expected to be difficult to extend. Support is at 0.8210 with a break to steady above the 0.8175. Resistance is at 0.8270.