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The dollar got off to a weak start Friday, but has since staged a recovery and is up modestly higher against its major rivals. Traders continue to keep a close eye on trade negotiations, but were encouraged by the stronger than expected employment growth in August.

After reporting weaker than expected job growth in the previous month, the Labor Department released a report on Friday showing employment in the U.S. jumped by more than expected in the month of August. The Labor Department said non-farm payroll employment surged up by 201,000 jobs in August after climbing by a downwardly revised 147,000 jobs in July.

Economists had expected employment to increase by about 191,000 jobs compared to the addition of 157,000 jobs originally reported for the previous month.

Despite the stronger than expected job growth during the month, the unemployment rate held at 3.9 percent in August compared to expectations for a drop to 3.8 percent.

The dollar slipped to an early low of $1.1649 against the Euro Friday, but has since bounced back to around $1.1560.

The euro area economy expanded as initially estimated in the second quarter, data from Eurostat showed Friday. Gross domestic product climbed 0.4 percent sequentially, the same rate as seen in the first quarter and in line with preliminary estimate.

Germany's industrial production declined unexpectedly in July, data from Destatis revealed Friday. Industrial production fell 1.1 percent month-on-month in July, in contrast to a 0.2 percent rise economists had forecast. Production decreased 0.7 percent in June.

Germany's exports declined for the first time in three months in July, while imports grew at a faster pace, Destatis reported Friday.

Exports fell unexpectedly 0.9 percent on month in July, reversing June's 0.1 percent rise. This was the first fall in three months. Shipments were expected to climb 0.3 percent.

Meanwhile, monthly growth in imports accelerated to 2.8 percent from 1.3 percent in June. Economists had forecast a 0.1 percent rise in imports.

As a result, the trade surplus fell to a seasonally adjusted EUR 15.8 billion from EUR 19.3 billion in the previous month.

France's industrial production logged a steady growth in July, the statistical office Insee showed Friday. Industrial output grew 0.7 percent month-on-month in July, the same pace of expansion as seen in June. Output was forecast to gain at a much weaker rate of 0.2 percent.

France's visible trade deficit for July narrowed from a year ago, figures from the Customs Service showed Friday. The trade gap shrunk to EUR 3.49 billion from EUR 6.00 billion in the same month last year. Economists had forecast a shortfall of EUR 5.73 billion.

The buck dropped to a low of $1.3028 against the pound sterling Friday morning, but has since rebounded to around $1.2915.

UK house prices rose at a marginal pace in August, data from the Lloyds bank subsidiary Halifax and IHS Markit showed Friday. House prices gained 0.1 percent month-on-month in August, slower than July's 1.2 percent increase.

The greenback has risen to around Y111.075 against the Japanese Yen Friday afternoon, from an early low of Y110.381.

The average of household spending in Japan was up 0.1 percent on year in July, the Ministry of Internal Affairs and Communications said on Friday, coming in at 283,387 yen. That beat expectations for a decline of 0.9 percent following the 1.2 percent drop in June.