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FOREX-Dollar falls to more than 3-week low with payrolls eyed - Reuters

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    * Graphic: World FX rates tmsnrt.rs/2RBWI5E

 (Adds details, updates prices; changes byline, dateline;
previous LONDON)
    By Chuck Mikolajczak
    NEW YORK, Aug 31 (Reuters) - The dollar hit its lowest level
in more than three-weeks against a basket of currencies on
Tuesday, as investors awaited U.S. jobs figures later this week
for insight into the possible path of U.S. Federal Reserve
monetary policy.
    The greenback has struggled since Federal Reserve Chair
Jerome Powell's said at the Jackson Hole conference on Friday
that tapering could begin this year, but the central bank was in
no hurry to raise interest rates.
    "If the payrolls number disappoints, then Eurodollar has
another excuse to trade higher again because that is going to
bring out all the doves again saying the Fed is not going to
taper in September," said Erik Bregar, director and head of FX
strategy at the Exchange Bank of Canada in Toronto. 
    The dollar briefly pared some of its decline on the session
after the S&P CoreLogic Case-Shiller composite index of 20
metropolitan areas showed U.S. single-family home prices rose in
June from the prior year at the fastest pace on record.

    Choppiness for the greenback ensued as a
weaker-than-expected Chicago PMI for August saw the dollar trim
its decline, only to once again dip after the Conference Board's
reading for consumer confidence fell short of expectations.
 
    Investors will look to a round of U.S. data later this week
to gauge the strength of the labor market, culminating with
payrolls numbers due Friday, in an effort to determine when the
Fed may begin tightening its policy.  
    "All these releases are having minor influences, but if you
are looking for a big move, maybe wait until Friday," said
Bregar.   
    Analysts said trade on Tuesday may also be influenced by
month-end stock portfolio rebalancing, which could lead to flows
into the Canadian dollar, sterling and the Swiss
franc and out of the greenback.
    The dollar index fell 0.256%, with the euro up
0.28% to $1.1828.
    The dollar hit a low of 92.395 on the day, its lowest level
since Aug. 6 but is still up nearly 0.5% for the month. 
    Data earlier in the day showed euro zone inflation surged to
a 10-year-high this month, with consumer prices in the 19
countries sharing the euro up by 3%.  
    Sterling strengthened to a two-week high of $1.38010, and
was last trading at $1.3799, up 0.30% on the day. 
    The Japanese yen strengthened 0.27% versus the greenback at
109.60 per dollar. 
    
    
========================================================
    Currency bid prices at 10:38 AM (1438 GMT)
 Description      RIC         Last           U.S. Close  Pct Change     YTD Pct       High Bid    Low Bid
                                              Previous                   Change                   
                                              Session                                             
 Dollar index                 92.4530        92.7060     -0.26%         2.747%        +92.7160    +92.3950
 Euro/Dollar                  $1.1830        $1.1797     +0.28%         +0.00%        +$1.1845    +$1.1796
 Dollar/Yen                   109.6150       109.9200    -0.27%         +0.00%        +109.9800   +109.5900
 Euro/Yen                     129.66         129.65      +0.01%         +0.00%        +130.1700   +129.6000
 Dollar/Swiss                 0.9123         0.9172      -0.53%         +0.00%        +0.9173     +0.9115
 Sterling/Dollar              $1.3799        $1.3757     +0.32%         +0.00%        +$1.3803    +$1.3758
 Dollar/Canadian              1.2621         1.2608      +0.11%         +0.00%        +1.2630     +1.2570
 Aussie/Dollar                $0.7321        $0.7295     +0.37%         +0.00%        +$0.7341    +$0.7288
 Euro/Swiss                   1.0792         1.0817      -0.23%         +0.00%        +1.0832     +1.0783
 Euro/Sterling                0.8570         0.8572      -0.02%         +0.00%        +0.8599     +0.8570
 NZ                           $0.7055        $0.6999     +0.79%         +0.00%        +$0.7068    +$0.6997
 Dollar/Dollar                                                                                    
 Dollar/Norway                8.6810         8.6700      +0.14%         +0.00%        +8.7015     +8.6290
 Euro/Norway                  10.2690        10.2330     +0.35%         +0.00%        +10.2853    +10.2060
 Dollar/Sweden                8.6107         8.6251      +0.15%         +0.00%        +8.6291     +8.5804
 Euro/Sweden                  10.1878        10.1721     +0.15%         +0.00%        +10.1930    +10.1580
 
       

    
 (Reporting by Chuck Mikolajczak)
  

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FOREX-Dollar falls to more than 3-week low with payrolls eyed - Reuters
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