Investing.com - The dollar was little changed against the other majors currencies on Monday, as overall confidence in the U.S. economy continued to lend some support to the greenback, while trading was expected to remain quiet with no major U.S. data expected throughout the day.
The greenback has been broadly supported in recent weeks amid expectations that increased fiscal spending and tax cuts under the Trump administration will spur economic growth and inflation.
The dollar has also been boosted by the view that a rate hike by the Federal Reserve in December is a near certainty.
EUR/USD held steady at 1.0579, although the euro’s gains were expected to remain in check amid concerns over an upcoming referendum in Italy.
On December 4, Italian citizens are set to vote in a referendum on whether to overhaul their national constitution, which should help Prime Minister Matteo Renzi implement badly needed economic reforms.
The vote is widely seen as determining Renzi's political fate seeing as he may resign if a "no" vote prevails. The latest opinion polls show most Italians opposing the proposed constitutional changes.
Elsewhere, GBP/USD declined 0.62% to trade at 1.2398.
USD/JPY slid 0.74% to 112.37, off Friday’s eight-month high of 113.91 hit earlier in the day, while USD/CHF added 0.09% to 1.0151.
The Australian and New Zealand dollars were stronger, with AUD/USD up 0.48% at 0.7480 and with NZD/USD gaining 0.31% to 0.7066.
Meanwhile, USD/CAD retreated 0.69% to trade at 1.3421.
The loonie strengthened as oil prices moved sharply higher on Monday, following reports Iraq plans to cooperate with other OPEC members to reach an agreement acceptable to all this week.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was steady at 101.48, still close to Thursday’s 14-year peak of 102.12.