Investing.com - The dollar slipped lower against the other major currencies on Monday, pulling away from a seven-month high ahead of U.S. data, although hopes for a 2016 U.S. rate hike still lent support
The greenback strengthened broadly after data on Friday showed that U.S. retail sales rose 0.6% in September, in line with expectations and after a revised 0.2% fall the previous month.
In addition, the U.S. producer price index rose 0.3% in September, compared to expectations for an increase of 0.2%.
The upbeat data added to expectations for an upcoming U.S. rate hike after the minutes of the Federal Reserve’s September policy meeting showed last week that several voting members believed a rate hike would be warranted "relatively soon" if the U.S. economy continued to strengthen.
Market participants were looking ahead to reports on U.S. industrial production and manufacturing activity in the New York area, due later in the day, for further indications on the strength of the economy.
EUR/USD edged up 0.24% to 1.0998, just off a more than two-month low of 1.0964 hit overnight.
Earlier Monday, final data showed that the euro zone consumer price index rose 0.4% in September, in line with expectations. Year-on-year, consumer prices gained 0.4% last month.
USD/JPY was little changed at 104.10, close to last week’s more than two-month peak of 104.63.
GBP/USD eased 0.09% to 1.2178, while USD/CHF edged down 0.25% to 0.9880.
The Australian dollar was weaker, with AUD/USD down 0.18% at 0.7603, while NZD/USD advanced 0.51% to 0.7123.
Meanwhile, USD/CAD added 0.17% to trade at 1.3162.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was down 0.15% at 97.93, off a seven-month high of 98.15 hit overnight.