The dollar steadied after hitting a yearly low against the euro on Friday, as strong U.S. jobs report cemented expectations the Federal Reserve will continue to taper monetary stimulus.
The U.S. economy generated 175,000 jobs in February despite rough winter weather, 25,000 more than forecast, the Labor Department said.
The unemployment rate rose to 6.7 percent from 6.6 percent, as more people starting looking for work.
The buck was steady even before the jobs report, boosted by simmering tensions between Russia and the West over Ukraine.
Russia vowed to cut of gas supplies to its neighbor, a week after invading Ukraine’s Crimea region.
U.S. President Obama and Russian leader Vladimir Putin spoke for an hour by phone Thursday with no apparent breakthrough.
The dollar slipped to yearly low of $1.39 against the euro before improving to $1.387.
The buck was little changed at $1.6730 versus the sterling.
Early gains took the dollar to Y103.30 versus the yen, its highest in more than a month.
In other economic news from the U.S., the Commerce Department released a report on Friday showing that the U.S. trade deficit edged wider in the month of January.
The report showed that the trade deficit widened to $39.1 billion in January from a revised $39.0 billion in December.
Meanwhile, new orders for U.S. manufactured goods fell by more than expected in the month of January, according to a report released by the Commerce Department on Thursday.
The report said factory orders dropped by 0.7 percent in January after tumbling by a revised 2.0 percent in December.
