Investing.com - The dollar remained near 14-month highs against a basket of other major currencies on Friday, as the euro continued to broadly after the European Central Bank's latest policy statement and markets awaited the release of key U.S. jobs data later in the day.
The dollar remained supported by expectations that the Federal Reserve is growing closer to raising interest rates.
Investors were looking ahead to the upcoming U.S. employment report for further indications on the strength of the recovery in the labor market, a key factor in deciding the future path of monetary policy.
EUR/USD edged up 0.09% to 1.2957 but remained within close distance of Thursday's 14-month low of 1.2918.
The euro fell sharply after the ECB cut its benchmark interest rate to a record-low 0.05% from 0.15%, surprising most market analysts who had expected no change.
In addition, ECB President Mario Draghi said the bank will begin an asset-backed securities program, to purchase non-financial assets, including covered bonds.
The ECB also cut its forecast for growth this year to 0.9% down from 1.0% previously.
Earlier Friday, official data showed that German industrial production rose 1.9% in July, beating expectations for an uptick of 0.3%, after a revised 0.4% increase in June.
GBP/USD held steady, near seven-month lows, at 1.6320 as uncertainty over the outcome of a vote on Scottish independence due to take place later this month continued to weigh on the pound.
USD/CHF edged 0.13% lower to 0.9306, pulling away from one-year highs. The greenback hit six-year highs, with USD/JPY at 105.16.
AUD/USD added 0.16% to trade at one month highs of 0.9362, while NZD/USD slipped 0.18% to 0.8291. USD/CAD was steady at 1.0882, as investors also awaited data on the change in the number of people employed and the unemployment rate in Canada, to be released later Friday.
The US Dollar Index, which tracks the performance of the greenback versus a basket of six other major currencies, was little changed at 83.78, the highest level since July 2013.