U.S. dollar falls as rate-hike expectation dims

The U.S. dollar declined against other major currencies on Friday as investors lowered expectation for the Federal Reserve to raise interest rate this year.

The dollar index, which tracks the greenback against six major peers, was down 0.43 percent at 95.725 in late trading.

Analysts said uncertainties over the global economic outlook after Britain' s surprise vote to leave the European Union has reduced market expectations for a Fed rate-hike this year.

On the economic front, the seasonally adjusted Markit Flash U.S. Manufacturing Purchasing Managers' Index came in at 51.3 in June, slightly below market consensus of 51.4, but up from 50.7 in May.

Meanwhile, the June purchasing managers' index registered 53.2 percent, an increase of 1.9 percentage points from the May reading of 51.3 percent, according to the Institute for Supply Management (ISM) Friday.

In late New York trading, the euro rose to 1.1121 dollars from 1.1067 dollars of the previous session, and the British pound increased to 1.3258 dollars from 1.3238 dollars. The Australian dollar went up to 0.7485 dollars from 0.7439 dollars.

The dollar bought 102.53 Japanese yen, lower than 103.28 yen of the previous session. The dollar dropped to 0.9751 Swiss francs from 0.9784 Swiss francs, and it dipped to 1.2902 Canadian dollars from 1.2977 Canadian dollars. Enditem