SINGAPORELONDON, Nov 25 Reuters The U.S. dollar hovered near a threemonth low on Friday and was headed for a weekly loss, as the prospect of the Federal Reserve slowing monetary policy tightening as soon as December preoccupied investors.

The euro edged up after the GfK institute survey showed German consumer sentiment is expected to stabilise next month with the help of energy measures.

The dollar was struggling to make headway after thin trading on Thursday due to the U.S. Thanksgiving holiday.

Risksensitive sterling was near a threemonth high against the U.S. currency.

We39;ve still got the third successive day of positive risk sentiment … I think that is keeping the U.S. dollar subdued pretty much across the board, said Ray Attrill, head of FX strategy at National Australia Bank.

Minutes from the Fed39;s November meeting released earlier this week showed that a substantial majority of policymakers agreed it would soon be appropriate to slow the pace of interest rate rises.

Those remarks sent the dollar tumbling as the Fed39;s aggressive rate increases and market expectations of how high the central bank could take them has been a big driver of the currency39;s 10 surge this year.

Against a basket of currencies, the U.S. dollar index stood at 105.8, down 0.05 on the day.

The Fed aside, accounts of the European Central Bank39;s October meeting released overnight showed that policymakers fear that inflation may be getting entrenched in the euro zone. While…

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