The dollar index (DXY00) today is up +0.54% and climbed to a 2-year high. Today’s weaker-than-expected Eurozone economic news signals a struggling European economy that is weighing on the euro to the dollar’s benefit. The dollar extended its gains after the US Nov S&P manufacturing and service PMIs increased. Gains in the dollar were limited after the University of Michigan US Nov consumer sentiment index unexpectedly declined.
The US Nov S&P manufacturing PMI rose +0.3 to a 4-month high of 48.8, slightly weaker than expectations of 48.9. The Nov S&P services PMI rose +2.0 to 57.0, stronger than expectations of no change at 55.0 and the strongest pace of expansion in 2-1/2 years.
