* Euro rises as Draghi sounds hawkish note on euro zone
* Dollar index trudges lower
* Dollar hits three-week high vs yen
(Updates to U.S. trading, adds quote, data, changes dateline,
By Dion Rabouin
NEW YORK, March 9 The dollar fell against a
basket of major currencies on Thursday, while the euro gained
after European Central Bank head Mario Draghi suggested it was
less necessary to prop up the market through ultra-loose
Draghi said the ECB removed a reference to using all
available measures to induce growth and inflation "because the
sense of urgency is not there." The Governing Council had also
discussed removing a reference to lowering interest rates in its
forward guidance and had increased its inflation and growth
profile for the euro zone next year, he added.
The euro rose above the $1.06 level during Draghi's
remarks, reversing earlier selling that had brought it to a
six-day low. It was last up 0.45 percent at $1.0588.
The dollar index, which tracks the greenback against
the euro and five other major world currencies, hit a session
low of 101.700 as Draghi spoke. It was last down 0.25 percent at
"The ECB raised the euro zone inflation and growth profile
for 2018, and (Draghi) reduced the risks, although they still
remain on the downside for growth," said Richard Cochinos, head
of European G10 FX strategy at Citigroup in London. "It’s clear
the market’s taken it as somewhat positive (for the euro)."
The central bank did not, however, announce any changes to
its monetary policy in the statement.
Before the ECB news conference, the dollar hit a three-week
high against the yen and remained on course for a fourth
straight day of gains against the Japanese currency.
It was last up 0.4 percent at 114.78 yen.
(Reporting by Dion Rabouin; Editing by Lisa Von Ahn)