The dollar was headed for a weekly gain on Friday, aided by solid U.S. growth figures that bolstered the case for higher-for-longer interest rates, while the yen hovered on the weaker side of 150 per dollar ahead of a key policy meeting next week.

The U.S. economy grew at its fastest pace in nearly two years in the third quarter as higher wages from a tight labor market helped to power consumer spending, data on Thursday showed.

The U.S. dollar index steadied at 106.57, having hit a three-week high of 106.89 in the previous session, and was on track for a weekly gain of about 0.4%.

Sterling edged 0.07% higher to $1.21355, though was not too far from a three-week low of $1.2070 hit on Thursday.

The euro slipped 0.02% to $1.0560 and was headed for a weekly loss of roughly 0.3%.

The European Central Bank (ECB) on Thursday left interest rates unchanged as expected, ending an unprecedented streak of 10 consecutive rate hikes.

The Australian dollar , often used as a proxy for risk appetite, gained 0.24% to $0.6337, having slid to a one-year low of $0.6271 on Thursday.

In Asia, the yen remained top of investors' minds as it stayed on the weaker side of 150 per dollar, a threshold which some see as a potential trigger for intervention by Japanese authorities.

The yen last stood at 150.38 per dollar, languishing near the previous session's one-year trough of 150.78.

Source : Reuters