2017.07.1923:49:00UTC+00Euro Near 14-Month High on ECB Tapering Expectations

The euro was near a 14-month peak versus the dollar earlier on Thursday, with investors counting on signs from the European Central Bank regarding the tapering of its stimulus. The yen prepared for news from the Bank of Japan's policy meeting.

The ECB is set to lay the groundwork for an autumn policy shift when it meets on Thursday, highlighting improved growth while also trying to alleviate expectations after it previously rattled financial markets.

The common currency stood at $1.15275, pulling back slightly from Tuesday's $1.1583, its highest level since May 2016. It continues to maintain gains of over three percent since ECB President Mario Draghi's Sintra speech.

ECB President Mario Draghi opened the door to policy adjustments in a speech in Sintra, Portugal, which led to expectations that the ECB is ready to announce reductions in its asset purchasing programme.

Data from U.S. financial regulator released on Friday showed that speculators last week held the biggest net long position in Chicago euro/dollar futures in six years.

The euro was little changed at 128.915 yen, lower from the 17-month high of 130.76 reached the previous week.

The dollar inched up to 111.88 yen, after having reached a three-week low of 111.55 yen on Wednesday.

The Bank of Japan is broadly expected to keep its policy on hold at its policy meeting ending later in the day.

The dollar's index versus a basket of six major currencies was at 94.748, near a 10-month low of 94.476 hit on Tuesday.