WASHINGTON – President Barack Obama said on Wednesday he would keep consumer protection at the heart of his proposed overhaul of financial regulation, despite suffering a serious political setback in the U.S. Senate.

Dollar, yen hold near week's highs vs euro, Aussie, kiwi * Dollar briefly hits 2-month low vs yen By Kaori Kaneko TOKYO, May 14 (Reuters) - The yen and dollar held near some of their strongest levels this week on Thursday after bleak U.S. retail sales data rekindled worries about the economy, prompting investors to reduce bets on riskier assets.

The euro hit a one-month low against the dollar and a three-week trough versus the yen on Monday due to uncertainty over policy steps the European Central Bank may take.

“What we’re starting to see is glimmers of hope across the economy,” the president told reporters at the White House after getting an update on the economy from Federal Reserve Chairman Ben S. Bernanke, Treasury Secretary Timothy Geithner, and Sheila Bair, chairman of the Federal Deposit Insurance Corp.

On Wednesday the ISM manufacturing report climbed to 36.3, the third consecutive gain. The ISM report can be used as a good gauge for the upcoming GDP numbers. The positive reads over the last three months show that the economy improved during the first quarter of 2009 from the preceding, at least when it comes to the manufacturing side of the economy. However, the ISM March number still holds a long way from the 50 points mark that denotes contraction from growth