US$ treads water; pound slips from year-high

London

THE dollar steadied on Wednesday, with traders wary of taking new positions on the currency ahead of inflation data due on Thursday that will be closely watched by the US Federal Reserve as it considers when to raise interest rates.

With most currencies trading in narrow ranges, Britain's pound was in focus, having earlier hit a one-year high above US$1.33 before retreating back below that level after data showed wages still lagging inflation.