LONDON, July 21 (Reuters) - The euro rose to its highest level since August 2015 in early European trades on Friday as the single currency's bounce prompted some investors to cover short positions.
The euro climbed 0.3 percent to $1.16650 as markets bet the European Central Bank would tweak its policy stimulus in the autumn even though ECB President Mario Draghi was careful to give away few hints about the bank's next move after Thursday's policy meeting.
The euro's nearly 2 percent rise this week pinned the dollar to fresh 11-month lows against a trade-weighted basket of its rivals. The dollar index hit a fresh 11-month low of 93.994.
Reporting by Saikat Chatterjee, editing by Nigel Stephenson