The U.S. dollar traded higher against the most major currencies after the better-than-expected number of initial jobless claims in the U.S. The number of initial jobless claims in the U.S. in the week ending July 5 fell by 11,000 to a 304,000 from the previous week's number of 315,000 claims. Analysts had expected jobless claims to increase to 316,000.

The U.S. wholesale inventories rose 0.5% in May, after a 1.0% increase in April. April's figure was revised from a 1.1% rise. Analysts had expected a 0.6% gain.

The euro dropped against the U.S. dollar due to the weaker-than-expected data from France. French industrial production declined 1.7% in May, missing expectations for a 0.5% rise, after a 0.3% gain in April.

On a yearly basis, French industrial production fell 3.7% in May, after a 2.0% drop in April.

French consumer price index remained flat in June, missing expectations for a 0.2% rise. On a yearly basis, French consumer price index increased 0.6% in June, after a 0.7% gain in May.

The British pound fell against the U.S. dollar after the Bank of England's interest decision and the weaker-than-expected trade data from the U.K. The Bank of England kept unchanged its interest rate at 0.5%. The volume of the BoE's asset purchase program remained unchanged at £375 billion. This decision was expected by the analysts.

The U.K. trade deficit climbed to £9.2 billion in May from a deficit of £8.81 billion in April. April's figure was revised up from a deficit of £8.92 billion. Analysts had expected a deficit of £9.00 billion.

The Canadian dollar traded mixed against the U.S. dollar after the weaker-than-expected Canadian new housing price index. The index increased 0.1% in May, missing expectations for a 0.3% rise, after a 0.2% gain in April.

The New Zealand dollar traded lower against the U.S dollar. The kiwi was supported by the better-than-expected Business NZ purchasing managers' index for New Zealand. The index climbed to 53.3 in June from a reading of 52.6 in May. May's figure was revised down from 52.7.

The weaker-than-expected Chinese trade balance data put the kiwi under pressure. China's trade surplus declined to $31.6 billion in June from a surplus of $35.9 billion in May, missing expectations for an increase to a surplus of $37.3 billion.

The Australian dollar dropped against the U.S. dollar after mixed economic data from Australia, but later recovered a part of its losses. The number of employed people in Australia jumped by 15,900 in June, exceeding expectations for a rise of 12,300, after a 5,100 drop in May. May's figure was revised down from a 4,800 decrease.

Australia's unemployment rate surged to 6.0% in June from 5.9% in May. May's figure was revised up from 5.8%. Analysts had expected the rate to remain unchanged at 5.9%.

The consumer inflation expectations in Australia fell to 3.8% in June from 4.0% in May.

The Japanese yen traded higher against the U.S. dollar. The core machinery orders in Japan dropped 19.5% in May, missing expectations for a 0.9% gain, after a 9.1% fall in April.

On a yearly basis, the core machinery orders in Japan declined 14.3% in May, missing expectations for a 9.5% rise, after a 17.6% increase in April.

Japan's tertiary industry index rose 0.9% in May, missing forecasts of a 1.9% increase, after a 5.4% drop in April.