Investing.com - The U.S. dollar was mixed against the other major currencies on Friday, as investors remained cautious ahead of highly anticipated U.S. employment data, although upbeat euro zone economic reports boosted demand for the euro. During European morning trade, the dollar was lower against the euro, with EUR/USD climbing 0.68% to 1.3670. The euro extended gains against the greenback after official data showed that the unemployment rate in the euro remained unchanged at 11.7% in December, compared to expectations for a rise to 11.9%. Separately, preliminary data showed that consumer price inflation in the single currency bloc slipped to an annualized rate of 2.0% in January from 2.2% the previous month. Analysts had expected consumer price inflation to remain unchanged last month. The reports came after Markit research group said that Spain's manufacturing purchasing managers' index rose to 46.1 in January from a reading of 44.6 the previous month, beating expectations for an improvement to 45.5. Italy's PMI manufacturing rose to 47.80 last month from 46.70 in December, above expectations for an increase to 47.60. In addition, Markit said the euro zone's manufacturing PMI ticked up to 47.9 in January from 47.5, beating expectations for the index to remain unchanged. The greenback was higher against the pound, with GBP/USD sliding 0.30% to 1.5809. The pound came under pressure after Markit said that the U.K. manufacturing PMI fell to 50.8 in January from a reading of 51.2 the previous month, more than the expected decline to 51.0. Elsewhere, the greenback was higher against the yen, with USD/JPY advancing 0.54% to trade at 92.21, but lower against the Swiss franc with USD/CHF retreating 0.57% to 0.9050. Earlier in the day, official data showed that household spending in Japan fell 0.7% in December, more than the expected 0.2% decline, after a 0.2% rise the previous month. A separate report showed that Japan's unemployment rate ticked up to 4.2% in December from 4.1%. Analysts had expected the unemployment rate to remain unchanged. The greenback was mixed against its Canadian, Australian and New Zealand counterparts, with USD/CAD adding 0.25% to 0.9998, AUD/USD dropping 0.49% to 1.0375 and NZD/USD edging up 0.19% to 0.8406. The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.29% to 79.01. Later in the day, the U.S. was to release the closely watched government report on nonfarm payrolls and the unemployment rate, while the Institute of Supply Management was to publish a report on manufacturing activity. In addition, the University of Michigan was to produce revised data on consumer sentiment.

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