Euro flat before U.S. data
Analysts sceptical about further upside for the greenback
Yuan hits onemonth high in low volume

June 3 Reuters The dollar was little changed on Friday, even as risk appetite picked up ahead of U.S. jobs data.

European shares were mostly higher as investors waited for data which could provide hints on the pace of the Federal Reserve39;s policy tightening in the second half of 2022. 

The ADP National Employment Report showed U.S. payrolls rising at a slowerthanexpected pace last month. 

Trading on Friday is quieter with markets in China, Hong Kong and the UK closed for public holidays.

The dollar was flat at 101.81 against a basket of major currencies , along with the euro at 1.0743 .

Investors have mixed views on the greenback, which is still close to its highest level in almost 10 years.

George Saravelos, global head of forex research at Deutsche Bank, said the dollar is pricing a safehaven risk premium that is so extreme it rarely has persisted over time and is now in the process of unwinding.

Bullish analysts argue that the Fed39;s tightening cycle is based on a sturdier growth story than Europe39;s, especially after the Russian oil embargo, which might hurt the economy of the euro area.

The European Union has agreed an embargo on Russian crude oil imports that will take effect by yearend. 

The USD recovery on the back of new hawkish signals from the Fed is lacking momentum, with the dollar index having difficulty holding the 102…