The dollar index (DXY00) Thursday recovered from early losses and finished up by +0.90% at a 2-week high. Stronger-than-expected U.S. economic news today on Q2 GDP, weekly jobless claims, and Jun pending home sales boosted T-note yields and supported the dollar. Also, weakness in the euro was bullish for the dollar after EUR/USD fell to a 2-week low on dovish comments from ECB President Lagarde.
U.S. weekly initial unemployment claims unexpectedly fell -7,000 to a 5-month low of 221,000, showing a stronger labor market than expectations of an increase to 235,000.
