The dollar index (DXY00) today extended this week's rally and is up by +0.59% at a 2-month high. Signs of strength in the US economy are boosting the dollar today after the July ADP employment change rose more than expected by the most in four months, and Q2 GDP expanded more than expected. Also, short covering is supporting the dollar ahead of the results of today's FOMC meeting, where the Fed is expected to keep interest rates unchanged.
The US July ADP employment change rose +104,000, stronger than expectations of +76,000 and the largest increase in four months. Also, the Jun ADP employment change was revised upward to -23,000 from the previously reported -33,000.
