RTRS: Dollar down as data disappoints; trade thins out
* Dollar down vs most currencies; U.S. data mostly grim
* Euro steady, Trichet offers little hint on ECB policy
* Sterling on defensive, parity with euro in sight (Adds U.S. data, comment, changes dateline, byline)
By Steven C. Johnson
NEW YORK, Dec 24 (Reuters) - The dollar fell against most major currencies on Wednesday as data on unemployment, spending and durable goods orders reinforced the grim outlook for the U.S. economy in the year ahead.
Trading desks were lightly staffed ahead of the Christmas holiday, though, leaving currencies confined to narrow ranges and reaction to the economic data subdued.
Both the U.S. stock and bond markets will close at 1 p.m. (1800 GMT) and remained shuttered for Christmas on Thursday.
Investors and traders who were still on hand saw little in Wednesday's clutch of economic data to cheer about.
A government report showed the number of Americans who filed for jobless benefits in the latest week soared by 30,000 to a 26-year high, while separate data revealed consumers cut spending for a fifth straight month in November.
Orders for big-ticket durable goods such as appliances and computers fell 1 percent in November after a downwardly revised 8.4 percent plunge the prior month, another release showed.
"I don't think we are going to have a major reassessment of the U.S. economic situation based on today's data," said Daniel Katzive, director of global foreign exchange at Credit Suisse in New York. "All in all, the scenario remains pretty weak."
Early in New York, the dollar was down 0.5 percent at 90.44 yen while the euro rose 0.2 percent to $1.3995 . The euro fell 0.3 percent to 126.55 yen .
On Tuesday, European Central Bank President Jean-Claude Trichet said authorities would do what's needed to maintain price stability but did not comment on the policy outlook.
ECB Governing Council members Ewald Nowotny told Austrian television on Wednesday that further interest rate cuts cannot be ruled out, but the central bank did not want to be seen as committing on possible rate cuts. [ID:nWLA4245]
Sterling was flat at $1.4768 , recovering earlier losses after a survey showed UK house prices would fall by 10 percent next year. [ID:nLN634241].
The euro, though, rose 0.3 percent to 94.79 pence , near a record-high above 95 pence. Analysts said the grim outlook for the UK economy means the trend will continue.
