"Nothing has changed. Gary is focused on his responsibilities as NEC Director and any reports to the contrary are 100% false", the White House said in a statement.
The dollar fell against a basket of major currencies on Friday as continued uncertainty over the economic agenda of U.S. President Donald Trump pushed investors out of the greenback.
Cohn, who moved from Sachs Group Inc.to the White House as Trump's chief economic adviser, is mindful of the consequences his tenure in the trump administration could have on his reputation and profession.
The Dow Jones Industrial Average dropped 274.14 points, or 1.2 percent, for its biggest drop since May 17.
Trump's campaign promises of tax cuts and higher infrastructure spending had helped the market rally, with the S&P climbing about 14 percent since the November 8 presidential election.
Wedbush Equity Management's managing director Stephen Massocca said fiscal policy reforms in Washington seemed to be "falling apart".
Buying interest is likely to be somewhat subdued, however, as a terrorist attack in Barcelona and concerns about President Donald Trump's pro-business agenda continue to weigh on the markets. As such, there is a lot of faith riding on Cohn, and his departure would mark the complete opposite of what investors are looking for from the White House.
Apple fell 1.9 per cent, dragging down the S&P and the Nasdaq, while Wal-Mart Stores lost 1.6 per cent after reporting a steep decline in profits despite posting a 60 per cent gain in internet sales and beating expectations on earnings per share. This year alone, the Euro has gained almost 12% versus the US Dollar.
But the euro later strengthened as the greenback declined. Trump said, noting that some "very fine people" were among the white supremacists protesting the planned removal of a Confederate statue in the college town.
A further blow came Thursday when top Republican Senator Bob Corker of Tennessee joined those in his party who have sharply criticized Trump.
"Nothing's changed", a White House official said Thursday, according to Reuters. Cohn, whose name has been floated in the media as a potential successor to Janet Yellen at the helm of the Federal Reserve, has not spoken publicly on the president's comments. If he quit now, his Fed chair ambitions would be dashed.
In a staff decision on Wednesday, Hope Hicks, a close aide to Trump, has been named as interim White House director of communications, temporarily taking the post left vacant after Anthony Scaramucci was sacked last month, a senior White House official said.
It's been a tumultuous week for the administration, with Trump disbanding two advisory councils staffed by chief executive officers and slamming Republican members of congress who were critical of his polarizing remarks following violence in Virginia.