The U.S. dollar trimmed its early losses against its key opponents on Friday, as a data showed that U.S. consumer prices improved for second consecutive month in March.

Data from the Labor Department showed that consumer price index edged up by 0.2 percent in March, matching the increase seen in February. Economists had expected the index to rise by 0.3 percent.

Core consumer prices, which exclude food and energy prices, rose by 0.2 percent for the third consecutive month. The uptick in core prices matched economist estimates.

The annual rate of core price growth ticked up to 1.8 percent in March from 1.7 percent in February. The core price growth is more closely watched by the Federal Reserve.

Traders now await upcoming report on U.S. consumer sentiment, with economists expecting a reading of 94 in April, up from 93 last month.

The greenback has been lower this week, as a string of weak data arose uncertainty over the timing of the Federal Reserve's rate hike. On Thursday, the greenback dropped 0.76 percent against the franc, 0.13 percent against the yen, 0.72 percent against the euro and 0.61 percent versus the pound.

The greenback recovered to 0.9563 against the franc and 1.0733 against the euro, off early 2-week low of 0.9493 and a 9-day low of 1.0848, respectively. The greenback is likely to find resistance around 0.96 against the franc and 1.05 against the euro.

The greenback reversed from early more than a 4-week low of 1.5052 against the pound, new 3-week low of 0.7842 against the aussie and near a 3-month low of 0.7740 against the kiwi, edging up to 1.4968, 0.7766 and 0.7658, respectively. If the greenback extends rise, it is likely find resistance around 1.48 against the pound, 0.76 against the aussie and 0.75 against the kiwi.

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