FRANKFURT (AP) -- The euro rose against the dollar Thursday, but was off recent highs, as investors moved back into the dollar's safety on fears the U.S. and world economy remained on shaky ground.

The 16-nation euro bought $1.4727 in early European morning trade, up from the $1.4719 late Wednesday in New York.

The British pound was lower at $1.6385 compared with $1.6413, while the dollar also fell to 90.38 Japanese yen compared with 90.79 yen late Wednesday in New York.

A Wednesday U.S. government report on the U.S. housing sector added to worries about the strength of the U.S. economy's rebound.

Investors tend to buy the dollar when economic reports, corporate earnings or other developments make them feel uneasy about the state of the economy.

"Weakness has clearly reappeared but we are still off the first half lows," Wells Fargo said in a housing research note.

Wells Fargo currency analysts said the euro remained vulnerable, "with weakness in regional equity markets in general and banking sector stocks in particular weighing on the single currency."