Early trade: Euro higher versus dollar

The euro was slightly higher against the dollar on Thursday in choppy trade as investors wrestled with uncertainty over the size and shape of expected US monetary easing. With unemployment hovering around 9.5 percent, the Federal Reserve is widely expected to pump more money into the economy, likely through direct purchases of Treasury debt.
The euro rose as high as $1.4050 overnight but retreated in the New York session, with traders citing selling by Middle East accounts. It was lately up 0.1 percent to $1.3973. Against the yen, the dollar continued to hover near a 15-year low and was last trading flat at 81.16. Sterling fell 0.5 percent to $1.5753 as weak retail sales data stoked speculation that the Bank of England could engage in more monetary easing.