By William L. Watts, MarketWatch
FRANKFURT (MarketWatch) — The U.S. dollar was mixed versus major rivals on Friday as the euro drifted lower ahead of a Sunday summit of euro-zone leaders that is no longer expected to produce a far-reaching plan to address the region’s debt crisis.
German Chancellor Angela Merkel and French President Nicolas Sarkozy late Thursday said detailed discussions would take place Sunday, with European leaders set to hold a second meeting no later than Wednesday to finalize plans.
The delay underscores apparent divisions between Berlin and Paris over a number of issues, including calls to leverage the European Financial Stability Facility to provide authorities with more firepower to battle the crisis.
“The now commonplace stream of comments, leaks and denials hitting wires from various EU quarters has most players sitting on the sidelines waiting for some clarity,” said Elsa Lignos, senior currency strategist at RBC Capital Markets.
The euro EURUSD +0.16% traded at $1.3761 versus the dollar, little changed from $1.3773 in North American trade late Thursday.
The shared currency saw pressure earlier in the session after the Ifo Institute’s gauge of German business confidence slipped to a 16-month low. Read Market Pulse about the October Ifo reading.
The dollar index DXY -0.25% , which tracks the U.S. unit against a basket of six major rivals, traded at 76.940 versus 76.982 on Thursday.
Sterling changed hands at $1.5827 against the dollar, up from $1.5791 Thursday.
The dollar bought 76.67 Japanese yen USDJPY -0.19% compared to ¥76.85 on Thursday.
William L. Watts is a reporter for MarketWatch in Frankfurt.
