NEW YORK, (Reuters) - The dollar pared lossesagainst the yen Thursday after data on U.S. initial weeklyjobless claims and international trade eased concerns about thepace of the U.S. economic recovery..

"The July improvement in the trade balance is a positivefor the third quarter data outlook and diminishes somewhat thefears of a drastic slowdown in the United States," said BrianDolan, chief strategist, Forex.com, Bedminster, New Jersey."And the jobless claims is an even more significant move in theright direction. Overall both reports are risk positive, sowe've seen a bounce in shares and the yen crosses."

The dollar rose to 83.82 yen after the data fromaround 83.64 prior to the release of the data, though stilldown 0.1 percent on the day.

The euro was little changed at 1.2729 from $1.2726just before the release of the data. (Reporting by Nick Olivari and Steven C Johnson; Editing byTheodore d'Afflisio)