* U.S. job growth slows; monthly wage gains miss
expectations
    * Sterling weak amid concerns about Brexit vote

 (Updates rates, comments to U.S. market open; changes dateline;
previous LONDON)
    By Saqib Iqbal Ahmed
    NEW YORK, Dec 7 (Reuters) - The dollar weakened against
major currencies on Friday after data showed U.S. employers
hired fewer workers than forecast in November, backing the view
that U.S. growth is moderating and the Federal Reserve may stop
raising rates sooner than previously thought.
    Nonfarm payrolls increased by 155,000 jobs last month, while
the unemployment rate was unchanged at near a 49-year low of 3.7
percent. Economists polled by Reuters had forecast payrolls
increasing by 200,000 jobs in November.  urn:newsml:reuters.com:*:nUSN7NEEOA
    Average hourly earnings rose six cents, or 0.2 percent in
November after gaining 0.1 percent in October. That left the
annual increase in wages at 3.1 percent, matching October's
jump, which was the biggest gain since April 2009.
    Fed policymakers are still widely expected to raise interest
rates again at their Dec. 18-19 meeting, but the focus is on how
many rate hikes will follow in 2019.
    "This was slightly disappointing on the headline level, but
wage growth coming in as expected keeps the Fed on track to
raise rates in December," said Karl Schamotta, chief market
strategist at Cambridge Global Payments in Toronto.
    "The overall effect has been a sell-off in the dollar,
largely in a reaction to a lower expectation for rate hikes in
2019," he said.
    An index that tracks the greenback versus the euro, yen,
sterling and three other currencies  .DXY  was down 0.08 percent
at 96.735.
    Interest rate futures implied traders see no more than one
rate increase in 2019, compared with expectations a month
earlier for possibly two rate hikes, according to CME Group's
FedWatch program.
    "While the market remains volatile, this could be the
catalyst that sparks a retreat in dollar strength as
expectations for the Fed to continue its current rate of policy
tightening fade," Sam Cooper, vice president of market risk
solutions at Silicon Valley Bank, said in a note.
    Federal Reserve Chairman Jerome Powell said last week that
U.S. interest rates were nearing neutral levels, which markets
interpreted as signaling a slowdown in rate rises.
    Falling U.S. yields, which have been chipping away at the
yield differential advantage the greenback enjoyed earlier this
year, have been another factor impeding the dollar's advance
recently.
    On a weekly basis, the dollar was down about 0.6 percent,
set for its biggest drop in more than two months  .DXY .
    Sterling fell on Friday and was headed for a fourth
consecutive week of losses as British Prime Minister Theresa May
pressed ahead with plans for a parliamentary vote on her Brexit
deal with the European Union, despite warnings it could topple
her government.  urn:newsml:reuters.com:*:nL8N1YC1TZ
    The Canadian dollar  CAD=  strengthened against its U.S.
counterpart as higher oil prices and data showing a record
increase in domestic jobs bolstered expectations for further
interest rate hikes from the Bank of Canada.  urn:newsml:reuters.com:*:nL1N1YC0TZ

 (Reporting by Saqib Iqbal Ahmed; Editing by Dan Grebler)
 ((saqib.ahmed@thomsonreuters.com; @SaqibReports; +1 646 223
6054; Reuters Messaging:
saqib.ahmed.thomsonreuters.com@reuters.net))