The dollar was almost unchanged against other major currencies on Friday, hovering close to a three-week high as investors were eyeing the release of U.S. inflation and retail sales data due later in the day.
EUR/USD held steady at 1.0869, just off a two-and-a-half week low of 1.0838 hit on Thursday.
The greenback remained supported by mounting expectations for a rate hike by the Federal Reserve next month.
However, markets were still jittery since U.S. President Donald Trump’s unexpected decision to fire FBI Director James Comey.
Comey had been leading his agency’s investigation into alleged Russian meddling in the 2016 U.S. presidential campaign and possible collusion with Trump’s campaign.
Investors were concerned the latest events in Washington could hamper the U.S. administration’s ability to implement promised tax reform and stimulus measures.
GBP/USD was also little changed at 1.2886.
Elsewhere, USD/JPY slipped 0.13% to trade at 113.71, after hitting a two-month high of 114.39 on Thursday.
The U.S. dollar also remained supported after the release on Thursday of upbeat reports on initial jobless claims and producer price inflation.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was little changed at 99.48, just off Thursday’s three-week high of 99.77.