The dollar index (DXY00) on Monday rose by +0.01%. The dollar recovered from early losses and posted modest gains Monday after a jump in the 10-year T-note yield sparked short covering in the dollar. Also, weakness in the yen supported the dollar after the yen tumbled to a new 37-year low against the dollar on Monday.
The dollar on Monday initially moved lower after EUR/USD rallied to a 2-week high as Frech political concerns eased when the far-right party won by a smaller-than-expected margin in the first round of France’s parliamentary elections. The dollar also came under pressure after the US Jun ISM manufacturing index and May construction spending unexpectedly declined.
