The dollar traded mixed against major currencies in a lackluster session Friday, with trading volumes thinned by the approach of the New Year holiday. The euro rose slightly against the dollar, while the dollar gained ground against the Japanese yen.

Analysts attributed the muted trading activity to a lack of significant economic news and the absence of many market participants. Many investors have already closed their books for the year, leading to reduced liquidity and increased volatility.

Looking ahead, market participants are anticipating the release of key economic data in the coming weeks, which could provide further insight into the direction of monetary policy. Focus will be on inflation figures and employment data.