The dollar remained on tenterhooks on Friday, ahead of Federal Reserve Chair Janet Yellen's highly anticipated speech later in the session that some believe could provide clarity on whether U.S. interest rates are headed higher this year.

The dollar index, which gauges the greenback against a basket of six major counterparts, edged down 0.1 percent to 94.718 (DXY), on track for a modest gain of 0.2 percent for the week.

Yellen will deliver the keynote speech at a global central bank gathering in Jackson Hole, Wyoming.

She could send a clear signal that the Fed is gearing up for a hike this year, though many analysts believe she will stick to her less concrete stance that monetary policy is data-dependent and a hike is possible.

Source: Investing.com