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The U.S. dollar climbed against its major counterparts in the European session on Friday, after the World Health Organisation said that the spread of the coronavirus in China cannot be declared a global health emergency.

The WHO said that the outbreak is an emergency for China, but it has not yet become a global emergency.

Beijing has restricted movements in selected cities in an attempt to contain the virus during the busy New Year holidays.

The death toll has risen to 26 in China and those infected had been confirmed at 830.

Today's U.S. economic docket is relatively light, with Markit's manufacturing survey due in the American session.

The greenback has been trading higher against its most major opponents in the previous session.

The greenback rose to 109.65 against the yen and held steady thereafter. At yesterday's close, the pair was worth 109.49.

Data from the Ministry of Internal Affairs showed that Japan's inflation accelerated in December but remained well below the 2 percent target.

Consumer price inflation increased to 0.8 percent in December from 0.5 percent a month ago. This was also above economists' forecast of 0.7 percent.

The greenback climbed to a 2-day high of 0.9715 against the franc and near a 2-month high of 1.1026 against the euro, from its early lows of 0.9685 and 1.1062,respectively. The greenback is seen finding resistance around 1.00 against the franc and 1.08 against the euro.

The greenback firmed to a 2-day high of 1.3080 against the pound, off its early more than a 2-week low of 1.3173. On the upside, 1.28 is seen as the next resistance level for the dollar.

Survey results from IHS Markit and Chartered Institute of Procurement & Supply showed that the UK private sector returned to growth in January driven by a sharp rise in new work.

The composite output index rose to a 16-month high of 52.4 in January from 49.3 in December.

The greenback recovered to 0.6834 against the aussie and 0.6609 against the kiwi, from its early low of 0.6857 and a weekly low of 0.6629, respectively. The greenback is likely to find resistance around 0.67 against the aussie and 0.645 against the kiwi.

In contrast, the greenback fell to 2-day low of 1.3117 against the loonie, from yesterday's closing value of 1.3127. If the greenback falls further, it may find support the 1.30 mark.

The IHS Markit's U.S. manufacturing PMI for January is scheduled for release in the New York session.