The greenback slipped versus its major pairs on Thursday as US producer prices unpredictably declined in March, concerns that the Federal Reserve is nearing the end of its rate hike cycle increased.

The producer price index (PPI) for final demand slumped by 0.5% last month. In the 12 months till March, the PPI edged up by 2.7%.

The dollar index that gauges the greenback versus its major pairs dropped to 100.86, hitting the lowest level since February.

Fed funds futures traders predict that the Fed's benchmark rate will rise to 5.002% in June from its current level of 4.830% before tumbling back to 4.278% in December.

The next significant economic data point for the United States will be Friday's retail sales, which will be scrutinized for signs that inflation is having an impact on consumer spending.

EUR/USD edged up at $ 1.10660 touching the highest level in a year.

JPY/USD dipped by 0.80% to 132.13.