The dollar is likely to trade higher in the week ahead, with Friday's worse-than-expected U.S. non-farm payrolls data for October seen as the driving force for currency markets at least until mid week.

For President Barack Obama, the report that showed that the unemployment rate hit 10.2 percent last month gives opponents a chance to score some easy points.

Euro strength is far from over and the dollar could fall to an all-time low against the bullish currency, Phil Roberts, technical analyst from Barclays Capital, told CNBC.

Global stocks were mostly higher Friday ahead of the U.S. jobs report for October. But experts told CNBC they are skeptical of the current stock rally and see a bubble forming in all asset classes.

The dollar will "utterly get destroyed" and become virtually worthless, said Damon Vickers, chief investment officer of Nine Points Capital Partners on CNBC.

The dollar and yen rose Friday after a report showed the U.S. unemployment rate spiked and the economy lost more jobs than expected, stoking concerns about the U.S. economy and restoring safe-haven demand for both currencies.

Oil prices fell 1 percent on Thursday, as doubts about the pace of economic recovery dented optimism toward a rebound in fuel demand.

The dollar held steady against a basket of currencies Thursday, a day ahead of a key government jobs report that will shed light on the health of the U.S. economy.

Global stocks were in the green on Wednesday ahead of the Federal Open Monetary Committee's interest-rate announcement. Economists expect the U.S. central bank to keep interest rates low "for an extended period," even as the economy shows signs of improving.

Oil prices rose 1 percent on Wednesday, extending the previous session's gain, after a U.S. government report showed a surprise decline in crude stocks in the world's largest consumer.

The dollar fell in choppy trading against the euro Wednesday after the Federal Reserve left interest rates steady, as expected, and said it intends to keep interest rates low for some time.

Global stocks were down sharply Tuesday as investors continued to fret over the early removal of government stimulus, particularly in the financial sector. Experts told CNBC the yen remains the favorite among the carry trades.

The U.S. dollar rose to a one-month high against a basket of currencies Tuesday as concerns about the global banking sector and weaker equity markets boosted the greenback's safe-haven appeal.

Global stocks were mostly lower on Monday, sticking close to one-month lows as news of CIT Group finally filed for bankruptcy underscored the continuing fragility of parts of the financial sector. Experts told CNBC safe-haven trading is back – for now.

U.S. companies hurt by the global credit crisis are continuing to hold more cash, even as the economy begins to show signs of improvement, the Wall Street Journal said, citing its analysis of company filings.