The U.S. dollar traded mixed Friday, the first trading day of September, as investors were digesting the newly-released jobs report.

U.S. total nonfarm payroll employment increased by 156,000 in July, missing market expectations, and the unemployment rate edged up to 4.4 percent, the U.S. Labor Department said Friday.

Investors have kept a close eye on the nonfarm payroll report, looking for clues for the Federal Reserve's next monetary policy move.

Expectations for tighter monetary policy in the United States have been dampened recently by soft inflation data. Market expectations for a rate hike in December are just 37.3 percent, according to the CME Group's FedWatch tool.

Analysts said investors will now be looking to the upcoming Federal Open Market Committee (FOMC) meeting for further clarification on the reduction of its balance sheet. The market has widely expected the U.S. central bank to start unwinding its balance sheet that amounts to around 4.5 trillion U.S. dollars this month.

The dollar index, which measures the greenback against six major peers, was up 0.12 percent at 92.780 in late trading.

In late New York trading, the euro decreased to 1.1867 dollars from 1.1907 dollars in the previous session, and the British pound increased to 1.2955 dollars from 1.2927 U.S. dollars in the previous session. The Australian dollar increased to 0.7970 dollar from 0.7847 dollar.

The dollar bought 110.23 Japanese yen, higher than 110.02 yen of the previous session. The U.S. dollar rose to 0.9649 Swiss franc from 0.9596 Swiss franc, and it was down to 1.2394 Canadian dollars from 1.2504 Canadian dollars.