FOREX-Dollar holds firm before holidays, sterling recovers slowly

* Dollar supported by Friday's U.S. economic growth data
* Pound back above $1.30 after torrid week
* Euro flat but gains vs Swedish crown
* Graphic: World FX rates in 2019 http://tmsnrt.rs/2egbfVh

LONDON, Dec 23 (Reuters) - The dollar stood near two-week
highs on Monday after decent U.S. economic data was released on
Friday, while sterling recovered following last week's big drop.
The euro was little changed below $1.11. With the economic
calendar light before the holidays, analysts doubt this week
will see significant moves for major currencies.
Data published on Friday showed the U.S. economy, already
enjoying a record expansion, appears to have maintained its
moderate growth as the year ended, supported by a strong labour
market. The dollar has benefited both during bouts of risk aversion
- because it is considered a safe-haven currency - and when
markets have rallied, because the U.S. economy is outperforming
other parts of the world.
The dollar was unchanged against the euro at $1.1085
EUR=EBS . Against a basket of currencies, it edged 0.1% lower -
its index touching 97.611 .DXY - but remained near Friday's
peak, the highest since Dec. 6.
Many analysts say the dollar is the most attractive currency
of a bad bunch. U.S. yields are falling, but still better than
returns elsewhere.
"The big picture remains though that the dollar continues to
struggle for direction again the other major currencies amidst
record low volatility," MUFG analysts wrote in a note, pointing
to the modest 1.5% rise for the dollar index in 2019.
The dollar has, however, also been supported since
Washington and Beijing came to an interim trade agreement
earlier this month. China said on Monday it would lower tariffs
on products ranging from frozen pork to some type of
semiconductors next year. Currencies linked closely to the prospects for global trade
and investors' general appetite for risk rose.
The Australian dollar, which is closely linked to sentiment
towards China, rose 0.1% to $0.6913 AUD=D3 . The New Zealand
dollar gained 0.2% to $0.6618 NZD=D3 .
Sterling suffered its worst week in three years last week
after Prime Minister Boris Johnson ruled out extending the
transition period for Britain to negotiate a trade deal with the
European Union.
Early on Monday it made some gains, rising 0.3% to $1.3024
GBP=D3 . Versus the euro, sterling rose 0.2% to 85.11 pence per
euro EURGBP=D3 .
The euro gained 0.2% versus the Swedish crown to 10.444
crowns EURSEK=D3 . The Swedish currency rose to an eight-month
high last week before the Riksbank became the first major
central bank to end negative interest rates.