Investing.com - The dollar edged slightly higher against other major currencies on Friday, as investors remained cautious after a major U.S. tax reform vote was delayed.
Sentiment on the greenback remained vulnerable after the U.S. Senate on Thursday evening delayed a vote on the tax reform bill until Friday as a key element of the bill still needed to be debated.
However, the bill was seen like more likely to pass following an endorsement by Senator John McCain.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.14% at 93.09 by 08:40 a.m. ET (12:40 GMT).
EUR/USD shed 0.25% to 1.1873, while GBP/USD dropped 0.43% to trade at 1.3471, off a two-month high of 1.3550 hit overnight as traders locked in profits ahead of the weekend.
Data earlier showed that the UK manufacturing sector expanded at a faster rate than expected in November.
The report came amid signs of progress in negociations between the UK and the European Union, as EU diplomats said earlier in the week that Britain has moved "close" to EU demands over Brexit.
Elsewhere, the yen and the Swiss franc turned lower, with USD/JPY up 0.09% at 112.62 and with USD/CHF adding 0.19% to 0.9853.
The Australian dollar was little changed, with AUD/USD at 0.7568, while NZD/USD rose 0.23% to 0.6848.
Meanwhile, USD/CAD tumbled 0.95% to trade at 1.2774, pulling away from the previous session's one-month peak of 1.2910 after data showed that Canada’s unemployment rate fell more than expected and the economy created tens of thousands of jobs in November.