Sterling fell in European trade for another session on profit-taking off three-week highs while still on track for a second weekly profit on PM Boris Johnson's plan to revive the economy.
GBP/USD fell 0.3% to 1.2566, after closing down 0.1% yesterday, the first loss in five-days away from three-week highs at 1.2669.
The dollar index rose over 0.2% on Friday for another session away from four-week lows.
The gains came on risk aversion amid surging Covid 19 cases in the US and amid political tensions surrounding US President Donald Trump.
A court order was issued that allowed the New York top prosecutor access to Trump's financial records, which Trump fought long to keep secret.
The pound is up 0.6% so far this week on track for the second weekly profit, after the Treasury Ministry announced a 30 billion pound plan to bolster the economy, including cutting taxes and benefits to help the youth.
The plan is included in the larger financial support policy launched by PM Johnson to revive the economy from the Covid 19 hit.