INGAPORE, Nov 8 Reuters The U.S. dollar was back on the front foot on Friday and looking to end a volatile week with a slight gain, as markets weighed the impact of Donald Trump39;s return to the White House and what that means for the U.S. economy and its interest rate outlook.
Before the Asian day is out, China will conclude its fiveday meeting of the Standing Committee of the National People39;s Congress, from which investors will be watching for details of stimulus measures that could lift the yuan and Antipodean currencies often regarded as yuan proxies.
The U.S. dollar had lost ground in the previous session as traders closed out profitable bets on a Trump presidency following his election victory.
That pushed sterling further from the psychologically important 1.30 level, while the euro fell 0.17 to 1.0782.
The common currency was headed for a 0.3 decline for the week which saw a political crisis in Germany, the euro zone39;s biggest economy, where an awkward coalition led by Chancellor Olaf Scholz collapsed late on Wednesday.
The U.S. Federal Reserve on Thursday cut interest rates by 25 basis points as widely expected and flagged a patient, cautious approach to further easing.
The meeting doesn39;t change the view that the Fed is still on the path to lower rates and another rate cut in December is likely unless the inflation and labour market data surprises materially to the upside, said Kerry Craig, global market strategist at J.P. Morgan Asset…