Investing.com - The dollar slipped against the other major currencies on Wednesday, as a move higher in oil prices lent strength to commodity-linked currencies, although expectations for a U.S. rate hike this month continued to support the greenback.
USD/JPY fell 0.23% to 122.64.
The dollar remained broadly supported after Friday's strong U.S. employment data fuelled further expectations that the Federal Reserve will hike interest rates for the first time since 2006 at its upcoming meeting on December 15-16.
EUR/USD rose 0.39% to 1.0935, recovering from Tuesday’s lows of 1.0829.
Trade in the euro remained subdued after last Thursday’s rally when the latest round of European Central Bank easing measures fell short of market expectations.
Elsewhere, the dollar was lower against the pound and the Swiss franc, with GBP/USD up 0.38% at 1.5067 and with USD/CHF edging down 0.19% to 0.9905.
The Australian and New Zealand dollars were weaker, with AUD/USD down 0.31% to 0.7195 and with NZD/USD dropping 0.51% to 0.6612.
Meanwhile, USD/CAD slipped 0.16% to trade at 1.3565, off the previous session's 11-1/2 year highs of 1.3621.
The commodity related currencies steadied as a selloff in commodities eased after data showing that Chinese inflation picked up last month.
Oil prices fell to the lowest level since early 2009 on Tuesday, before recovering slightly.
The renewed selloff came after the Organization of the Petroleum Exporting Countries failed on Friday to agree on an oil production ceiling, adding to fears over a global supply glut.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.35% at 98.07.