Feb 28 (Reuters) - The dollar pared gains against the euro and Japanese yen on Thursday after data gauging the state of the U.S. labor market last week and the economy in the fourth quarter of last year. The number of Americans filing new claims for unemployment benefits fell more than expected last week, suggesting some traction in the labor market recovery. Meanwhile, the U.S. economy barely grew in the fourth quarter although a slightly better performance in exports and fewer imports led the government to scratch an earlier estimate that showed an economic contraction. The euro last traded at $1.3128, down 0.1 percent on the day. It had been trading at about $1.3124 before the release of the data. The dollar last traded at 92.18 yen, down 0.1 percent on the day. It had been trading at about 92.28 before the release of the data, according to Reuters data.

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