The number of Americans filing new applications for unemployment benefits rose marginally last week, suggesting no deterioration in labor market conditions and reinforcing expectations that the Federal Reserve would not cut interest rates next week.

The number of people who applied for U.S. unemployment benefits in mid-January climbed to a six-week high, but a temporary surge in California because of the massive wildfires was one of the chief culprits.

EUR/USD extends its sideways grind at around 1.0400 in the American session on Thursday. The data from the US showed that weekly Initial Jobless Claims rose to 223,000 from 217,000 in the previous week, limiting the US Dollar's gains and helping the pair hold its ground.