Dollar Steady as Debt Ceiling Worries Weigh; Pound Swings After Inflation Data

U.S. one hundred dollar notes are seen in this picture illustration taken in Seoul on Feb. 7, 2011. Lee Jae-won/Reuters

SINGAPORE/LONDON—The dollar on Wednesday held just shy of a two-month high as U.S. debt ceiling negotiations dragged on, while the pound firmed and then softened after stronger-than-expected British inflation data.

Also in focus was the New Zealand dollar, which dived 1.8 percent after the country’s central bank flagged an end to rate hikes.