Investing.com - The dollar trimmed gains against the other major currencies on Friday, as investors locked in profits after the greenback hit a one-mont peak on strong U.S. data and comments by Federal Reserve Chair Janet Yellen.
The dollar pulled away from session highs against the yen, with USD/JPY still up 0.57% at 120.72.
The Bureau of Economic Analysis reported on Friday that U.S. gross domestic product increased by 3.9% in the last quarter, exceeding expectations for a 3.7% rise and up from a growth rate of 3.7% in the three months to March.
Separately, the University of Michigan said its consumer sentiment index rose to 87.2 this month from 85.7 in August, beating expectations for an uptick to 86.7.
The data came a day after Fed Chair Janet Yellen said she expected the central bank to begin raising rates later in 2015, as long as inflation remained stable and the U.S. economy was strong enough to boost employment.
Earlier in the day, official data showed that Tokyo's consumer price index fell at an annualized rate of 0.1% in September, compared to expectations for a 0.2% downtick.
Tokyo's core CPI, which excludes fresh food, fell at an annual rate of 0.2% this month, in line with expectations.
EUR/USD was down 0.42% to 1.1183, off session lows of 1.1117.
Elsewhere, the dollar was higher against the pound, with GBP/USD down 0.27% at a fresh three-week low of 1.5199, and steady against the Swiss franc, with USD/CHF at 0.9760.
The Australian dollar was lower, with AUD/USD down 0.26% to 0.7008, while NZD/USD was little changed at 0.6351.
USD/CAD edged up 0.15% to 1.3325, not far from the previous session's six-year peak of 1.3417.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.35% at 96.43, after hitting one-month highs of 96.88 earlier in the day.