Investing.com - The dollar rose against the other major currencies on Friday, as the risk rally that followed Thursday's dovish comments by Federal Reserve Chair nominee Janet Yellen began to settle.
During European morning trade, the euro was lower against the dollar with EUR/USD down 0.17% at 1.3434.
In a Senate hearing on Thursday, Yellen defended the Fed's stimulus measures to bolster growth and called efforts to boost hiring an "imperative". The comments added to expectations that the Fed's monthly bond purchases may remained unchanged for an extended period of time.
In the euro zone, official data showed that consumer price inflation in the euro zone remained unchanged in October at an annualized rate of 0.7%, in line with expectations.
Core consumer price inflation, which excludes food, energy, alcohol, and tobacco, ticked down to 0.8% from a year earlier, from an upwardly revised rate of 1% in September, in line with market expectations.
The euro had weakened on Thursday after data showed that the euro zone economy expanded by 0.1% in the three months to September, slowing from the 0.3% growth achieved in the second quarter when the euro zone exited a recession. Economist had forecast quarter-on-quarter growth of 0.2%.
The greenback was steady against the pound, with GBP/USD down 0.02% at 1.6061.
The dollar was higher against the yen and the Swiss franc with USD/JPY rising 0.37% at 100.39, and with USD/CHF up 0.27% at 0.9188.
The yen remained under pressure after Taro Aso said on Thursday that it is important for Japan to retain currency market intervention as a policy option to utilize in time of excess volatility in markets.
The comments came after data showed that Japan’s economy grew by 0.5% in the third quarter, beating forecasts for growth of 0.4%, but the annual rate of growth slowed to 1.9%, down sharply from the 4.3% expansion in the second quarter.
The dollar was steady to higher against its cousins in Canada, Australia and New Zealand, with USD/CAD up 0.15% at 1.0483, AUD/USD inching 0.03% lower at 0.9312 and NZD/USD adding 0.14% at 0.8285.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.21% at 81.19.
Later in the day, the U.S. was to release data on manufacturing activity in the New York region, as well as reports on industrial production and import prices.
During European morning trade, the euro was lower against the dollar with EUR/USD down 0.17% at 1.3434.
In a Senate hearing on Thursday, Yellen defended the Fed's stimulus measures to bolster growth and called efforts to boost hiring an "imperative". The comments added to expectations that the Fed's monthly bond purchases may remained unchanged for an extended period of time.
In the euro zone, official data showed that consumer price inflation in the euro zone remained unchanged in October at an annualized rate of 0.7%, in line with expectations.
Core consumer price inflation, which excludes food, energy, alcohol, and tobacco, ticked down to 0.8% from a year earlier, from an upwardly revised rate of 1% in September, in line with market expectations.
The euro had weakened on Thursday after data showed that the euro zone economy expanded by 0.1% in the three months to September, slowing from the 0.3% growth achieved in the second quarter when the euro zone exited a recession. Economist had forecast quarter-on-quarter growth of 0.2%.
The greenback was steady against the pound, with GBP/USD down 0.02% at 1.6061.
The dollar was higher against the yen and the Swiss franc with USD/JPY rising 0.37% at 100.39, and with USD/CHF up 0.27% at 0.9188.
The yen remained under pressure after Taro Aso said on Thursday that it is important for Japan to retain currency market intervention as a policy option to utilize in time of excess volatility in markets.
The comments came after data showed that Japan’s economy grew by 0.5% in the third quarter, beating forecasts for growth of 0.4%, but the annual rate of growth slowed to 1.9%, down sharply from the 4.3% expansion in the second quarter.
The dollar was steady to higher against its cousins in Canada, Australia and New Zealand, with USD/CAD up 0.15% at 1.0483, AUD/USD inching 0.03% lower at 0.9312 and NZD/USD adding 0.14% at 0.8285.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.21% at 81.19.
Later in the day, the U.S. was to release data on manufacturing activity in the New York region, as well as reports on industrial production and import prices.