
The dollar index (DXY00) today is up by +0.16%. The dollar is climbing today due to higher T-note yields. Also, weakness in stocks today has boosted some liquidity demand for the dollar. Gains in the dollar are limited after the Jul Chicago Fed national activity index fell more than expected. The dollar also has some negative carryover from last Friday when Fed Chair Powell said downside risks to employment are rising and the shifting balance of risks may warrant adjusting monetary policy.
The dollar is also pressured on concerns over Fed independence after President Trump said last Friday that he would fire Fed Governor Lisa Cook if she didn't resign amid allegations of mortgage fraud.