Dollar nurses losses ahead of non-farm payrolls data

Non-farm payrolls due later on Friday are widely expected to show U.S. jobs creation slowed in July from the previous month, indicating a resurgence in coronavirus infections is undermining the world's largest economy.

Earlier this week, the five-year Treasury yield hit an all-time low, and the benchmark 10-year yield fell to its second-lowest ever, which has become another reason to shun the greenback.

The dollar index against a basket of major currencies last stood at 92.816, close to a two-year low.

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U.S. Republicans and Democrats have so far failed to reach an agreement on the cost of fiscal stimulus measures that many investors say is necessary to prevent the economy form losing more momentum.

The Antipodean currencies also benefited from the broad-based weakness in the greenback.

The Australian dollar traded at $0.7237, close to the highest in one-and-a-half years, while the New Zealand dollar bought $0.6683, which is near its strongest since January.