The dollar remained steady against other major peers on Friday, as investors await on the comments of Fed Chair Janet Yellen later in the day amid rising expectations for an imminent U.S. rate hike.
Meanwhile, the EUR/USD slightly changed at 1.1196.
Investors are closely watching for the release of U.S. economic growth data, including the speech of Fed Chair Janet Yellen later this Friday, for further signals on the potential rate increase from the U.S. central bank.
The dollar moved with modest gains earlier in the week amid rising concerns over the Fed to start raising interest rates in the near term, as a possible rate increase was flagged in last week’s April Fed meeting minutes if the economy remained solid.
USD/JPY remained flat at 109.71.
Subsequently, the Tokyo’s consumer price index official data has shown a 0.5% decline in May on an annual basis, compared to a 0.4% decline estimate. Core CPI, excluding fresh food, has seen 0.5% loss last month, and disappoints analysts forecasts of a 0.4% drop.
Japan’s national CPI data has shown a 0.3% decreased in April on an annual basis, relative with anticipations. Core CPI lost 0.3% in April, compared to a 0.4% loss estimate.
The U.S. dollar index, which gauges the dollar’s strength against a basket of major currencies, remained steady at 95.14.
The Greenback Consolidates
The dollar remained in consolidation mode after its two-month highs was offset with bulls eyeing for further signals from the U.S. central bank.
The dollar index settled at 95.19 in late trade, which was dragged from an earlier peak of 95.66 on Wednesday.
It remained higher by almost 2.3 percent this month, among the top performing currencies, after a thread of Fed policymakers boosted anticipations for a rate hike as early as next month.
Head of Nordea Bank Jesper Bargmann said, "Im not sure how concerted this whole thing has been. If its all kind of planned or if its just individual members speaking."
Conversely, investors are closely watching from Fed Chair Janet Yellen’s speech at an upcoming event.
"This is her chance if she wants to give a hint," Bargmann said.
The second forecast for the March quarter U.S. gross domestic product is eyed as well. Elsewhere, analysts are expecting an inched higher of the earlier reading, citing a sluggish economic growth in two years.
The euro remained flat at $1.1190, up from a two-month record of $1.1129 set on Wednesday.
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