Investing.com - The dollar was hovering at five-week lows against other major currencies on Friday, as the dovish tone of the Federal Reserve’s latest policy statement continued to weigh and as investors eyed the release of U.S. data due later in the day.
EUR/USD was little changed at 1.0768, just off a five-week high of 1.0783 hit overnight.
The greenback weakened broadly after the Fed’s policy statement was seen as less hawkish than expected on Wednesday, by sticking to projections of three total rate hikes in 2017 and not four as some traders had hoped for.
Market participants were looking ahead to reports on U.S. industrial production and consumer sentiment due later in the day.
Meanwhile, the euro remained supported after centre-right Prime Minister Mark Rutte beat anti-Islam politician Geert Wilders in the Dutch election on Wednesday, easing concerns over a potential Dutch exit from the European Union.
Elsewhere, GBP/USD rose 0.25% to 1.2389, off Wednesday’s two-week peak of 1.2309.
The pound remained broadly supported after the Bank of England held interest rates at record lows on Thursday, but the meeting minutes showed the monetary policy committee was split on the decision.
USD/JPY held steady at 113.25, while USD/CHF edged down 0.14% to 0.9950.
Both the Bank of Japan and the Swiss National Bank left their monetary policies unchanged on Thursday.
The Australian and New Zealand dollars were stronger, with AUD/USD up 0.16% at 0.7689 and with NZD/USD gaining 0.34% to 0.7010.
Meanwhile, USD/CAD held steady at 1.3324, off Thursday’s two-week trough of 1.3274.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was steady at 100.03, the lowest since February 9.