* Consumer spending data reinforces Fed officials' hawkish message
* Better-than-expected Japanese spending data underpin yen
TOKYO, Aug 30 (Reuters) - The dollar took a breather on Tuesday, as investors waited to see if U.S. employment data later this week would reinforce U.S. Federal Reserve official's recent hawkish messages.
The dollar index, which tracks the greenback against a basket of six major rivals, stood at 95.549
But it remained well off Friday's session low of 94.246. plumbed before Federal Reserve Chair Janet Yellen's upbeat comments on the U.S. economy and Fed Vice Chair Stanley Fischer's remarks that interest rate hikes were possible this year.
"The DXY US Dollar index pared back all of yesterday's gains as markets look to be steadily adjusting into a holding pattern as they await the non-farm payrolls report on Friday," Angus Nicholson, market analyst at IG in Melbourne, wrote in a note.
The employment report is expected to show an increase of 180,000 jobs in August, according to the median estimate of 89 economists polled by Reuters, below the better-than-expected 255,000 additions in July and 292,000 gains in June.
U.S. economic data on Monday showed consumer spending increased for a fourth straight month, pointing to a pickup in growth that could pave the way for the Fed to raise interest rates later this year.
The dollar edged down 0.1 percent to 101.78 yen
Underpinning the yen, data released early in the session showed Japanese household spending fell less than expected last month and the jobless rate hit a two-decade low.
But with the economy barely growing and inflation sliding further away from the Bank of Japan's 2 percent target, most economists polled by Reuters expect the bank to ease further next month when it conducts a comprehensive review of the effects of its stimulus programme.
The euro was steady at $1.1187
(Reporting by Lisa Twaronite; Editing by Shri Navaratnam) ((lisa.twaronite@thomsonreuters.com;)(+81 3 6441 1870; Reuters Messaging: lisa.twaronite.thomsonreuters.com@reuters.net))
* Better-than-expected Japanese spending data underpin yen
TOKYO, Aug 30 (Reuters) - The dollar took a breather on Tuesday, as investors waited to see if U.S. employment data later this week would reinforce U.S. Federal Reserve official's recent hawkish messages.
The dollar index, which tracks the greenback against a basket of six major rivals, stood at 95.549
But it remained well off Friday's session low of 94.246. plumbed before Federal Reserve Chair Janet Yellen's upbeat comments on the U.S. economy and Fed Vice Chair Stanley Fischer's remarks that interest rate hikes were possible this year.
"The DXY US Dollar index pared back all of yesterday's gains as markets look to be steadily adjusting into a holding pattern as they await the non-farm payrolls report on Friday," Angus Nicholson, market analyst at IG in Melbourne, wrote in a note.
The employment report is expected to show an increase of 180,000 jobs in August, according to the median estimate of 89 economists polled by Reuters, below the better-than-expected 255,000 additions in July and 292,000 gains in June.
U.S. economic data on Monday showed consumer spending increased for a fourth straight month, pointing to a pickup in growth that could pave the way for the Fed to raise interest rates later this year.
The dollar edged down 0.1 percent to 101.78 yen
Underpinning the yen, data released early in the session showed Japanese household spending fell less than expected last month and the jobless rate hit a two-decade low.
But with the economy barely growing and inflation sliding further away from the Bank of Japan's 2 percent target, most economists polled by Reuters expect the bank to ease further next month when it conducts a comprehensive review of the effects of its stimulus programme.
The euro was steady at $1.1187
(Reporting by Lisa Twaronite; Editing by Shri Navaratnam) ((lisa.twaronite@thomsonreuters.com;)(+81 3 6441 1870; Reuters Messaging: lisa.twaronite.thomsonreuters.com@reuters.net))
