(fxcue news) - The U.S. dollar weakened against its major counterparts in the New York session on Friday, as PCE inflation cooled in August, raising the possibility of a 50 basis point rate cut by the Federal Reserve in November. On an annual basis, PCE inflation slowed to 2.2 percent in August from 2.5 percent in July. Economists had expected the pace of growth to slow to 2.3 percent. On month, the PCE price index inched up by 0.1 percent in August after rising by 0.2 percent in July. The uptick matched expectations. Core inflation, which excludes volatile food and energy prices, rose by 2.7 percent year-on-year after increasing by 2.6 percent in July. The reading matched expectations. On a monthly basis, the core PCE price index edged up by 0.1 percent in August, lower than estimates and previous reading of 0.2 percent. Traders currently see a 52.1 percent chance of the Fed cutting interest rates by 50 basis points in November. The greenback fell to a 2-day low of 1.1203 against the euro, from a 2-day high of 1.1124 seen at 3:15 am ET. At yesterday's close, the pair was quoted at 1.1176. The greenback is poised to challenge support around the 1.13 level. The greenback dropped to a 1-week low of 142.38 against the yen, from more than a 3-week high of 146.49 hit at 1:15 am ET. The pair was worth 144.80 at yesterday's close. The currency is seen finding support around the 139.00 level. The greenback retreated to 1.3463 against the loonie, down from a 3-day high of 1.3495 seen at 1:30 am ET. The pair had finished yesterday's trading session at 1.3464. The currency is likely to challenge support around the 1.32 level. The greenback declined to a 1-1/2-year low of 0.6937 against the aussie and more than a 9-month low of 0.6367 against the kiwi, from yesterday's close of 0.6895 and 0.6327, respectively. Immediate support for the currency is seen around 0.71 against the aussie and 0.645 against the kiwi. The greenback weakened to a 9-day low of 0.8406 against the franc from Thursday's close of 0.8461. If the currency falls further, 0.83 is likely seen as its next support level. The greenback edged down to 1.3427 against the pound from Thursday's closing value of 1.3415. The currency may locate support around the 1.36 level.