The US dollar was slightly firmer against the yen and euro in afternoon trading here which was quiet because the Japanese markets are still closed for a holiday, dealers said. But UOB Economic-Treasury Research said in a note: "On balance, the greenback started off the new year on a soft note against the backdrop of thin liquidity." It added: "Essentially, the European currencies traded with a stronger tone against the US dollar, and the higher-yielding currencies continued to gain relative to the lower-yielding currencies." Dealers said the possibility of an increase in interest rates by the European Central Bank next month might continue to support for the euro. The market is awaiting the release of the US Institute of Supply Management (ISM) manufacturing data for last month later today and of the latest US non-farm payrolls data on Friday. "Relative to consensus, we judge that the risks on the foregoing releases are to the downside, with the ISM manufacturing forecast to come in at 48.5 and payrolls at 95,000," UOB said. The minutes of the Dec 12 meeting of the US Federal Open Market Committee will also be released later today. "The general tone of the minutes -- with the continued focus on the potential upside risks to inflation -- is not expected to surprise market participants," UOB said.