The dollar index (DXY00) Thursday fell by -0.49%. The dollar posted moderate losses Thursday because of concerns that the US-China trade war will drag on after China said there were no talks on reaching a trade deal with the US. Also, Treasury Secretary Bessent said President Trump hasn't offered to take down US tariffs on China on a unilateral basis. The dollar added to its losses Thursday based on dovish Fed comments. Cleveland Fed President Hammack said the Fed could interest rates in June if the data is clear, and Fed Governor Waller said he'd support Fed rate cuts if tariffs led to job losses. Thursday's US economic news was mixed for the dollar.
US weekly initial unemployment claims rose +6,000 to 222,000, right on expectations. Weekly continuing claims fell -37,000 to a 10-week low of 1.841 million, showing a stronger labor market than expectations of 1.869 million.
