The dollar index (DXY00) Monday recovered from a 13-month low and finished up by +0.13%. Rising geopolitical risks in the Middle East supported safe-haven demand for the dollar after Israel on Sunday launched airstrikes against Hezbollah targets in southern Lebanon.
Gains in the dollar were limited after Monday’s news that US July core capital goods new orders unexpectedly declined. Also, dovish Fed comments weighed on the dollar when Richmond Fed President Barkin said he supports "dialing down" interest rates and San Francisco Fed President Daly said, "the time to adjust policy is upon us."
