The dollar extended its gain despite the data showing that the U.S. trade deficit unexpectedly saw a sharp widening in June.

The dollar was mostly lower Thursday, losing ground as the euro got a boost from unexpectedly strong PMI economic data.

The dollar dropped Monday by the most in three weeks against the euro as renewed investor appetite for equities and other assets lowered demand for the dollar.

The U.S. and the U.K. markets today are closed as a result of Holidays, yet this week will be an important week full of U.S. fundamental releases. This week already started with the dollar declining versus major currencies.

It seems that investors lost their appetite for trading after the release of the disappointing GDP yesterday which showed that the US economy grew less than expected.

Greece’s debt problems continue to affect the European currency negatively, the euro-dollar pair has extended its yesterday’s losses where it is currently trading at $1.3398, meanwhile the pair managed to reach the highest levels for today at $1.3447 and the lowest at $1.3355.

U.S. Dollar managed to gain ground against its major counterparts after news showing that inflation remains subdued and below the Fed target rate of 2.0% adding to the U.S. reports showing strength in manufacturing and improvements in consumer spending.

The dollar lost ground on Wednesday, falling from an eight-month high, after Federal Reserve Chairman Ben Bernanke told a congressional committee the U.S. economic recovery is not yet sustainable, and interest rates are likely to remain low for an extended period.

Major currencies continue to fall against the U.S dollar, having investors turning to buy the low yielding dollar and yen, selling the euro and the pound. Fears still domain the currencies market resulting from the tough debts situation in the euro zone.

The market has experienced dramatical changes after the U.S. labor report showing a surprising drop in the job losses which gave great hope of a recovery in U.S economy as well as great hopes that this report could prompt the Federal Reserve to hike rates earlier than some had forecast. The dollar gained the most since June against all other currencies on Friday.