Dollar Holds Firm Ahead of Warsh's Jackson Hole Speech

The US dollar held firm near its one-week high against major peers on Friday as investors awaited Federal Reserve Chairman Kevin Warsh's speech at the Jackson Hole symposium.

Warsh's debut speech in Wyoming is scheduled for 1400 GMT, and markets are eager to hear his comments on monetary policy and the US Treasury's efforts to bring down long-term borrowing costs during a period of volatility in bond markets.

Inflation has remained persistently above 2%, leading traders to price in at least one 25 basis point interest rate hike this year, which is supporting the dollar in recent days.

The euro and sterling were softer against the greenback, last trading at $1.1646 and $1.3589 respectively, both set for their first weekly drop in a month.