Forexpros – The dollar finished lower to mixed against major currencies on Friday after global markets took tame data out of the U.S. and a lack of bad news out of Europe as a sign to sell greenbacks and buy other assets deemed a little riskier but more rewarding.
However, reports that Fitch Ratings revised the outlook for AAA-rated France and also warned that six other European countries were at risk for downgrades dampened optimism.
Meanwhile inflation data out of Washington came in flat, as the consumer price index was unchanged in November and under expectations for a 0.1% gain.
Weak inflation data coupled with sentiment that the Federal Reserve will keep monetary policies unchanged for a while gave investors reason to sell and buy other currencies, especially the euro, which has taken a beating in recent days.
On Friday, EUR/USD finished up 0.13% and closed at 1.3032, as many investors viewed the European currency as underpriced.
The greenback also weakened against the pound, with Cable rising 0.18% to hit 1.5543.
Meanwhile, the greenback was down 0.06% against the yen, with USD/JPY at 77.81, and down against the Swiss franc, with USD/CHF falling 0.41% at 0.9360.
The greenback was mixed against its counterparts in Canada, Australia and New Zealand, with USD/CAD up 0.31% at 1.0384, AUD/USD up 0.42% to 0.9982 and NZD/USD up 1.10% to hit 0.7617.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, fell 0.33% to 80.69.
Data will be light ahead of the holidays next week.
On Sunday in New Zealand, the Westpac Consumer Sentiment Index will publish, which measures the change in the level of consumer confidence in economic activity.
Also on Sunday, the U.K. will release its Rightmove House Price Index, which measures changes in asking prices of homes up for sale.
On Monday in the U.K., the Nationwide Consumer Confidence numbers will tentatively publish, with forecasts predicting a reading of 34 points for November, down from 36 points in October.
Also on Monday, the Reserve Bank of Australia will release its Monetary Policy Meeting Minutes.
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