The dollar index (DXY00) Friday rose by +0.06%. The dollar on Friday posted modest gains, supported by stronger-than-expected US economic news. Also, Friday's stock weakness boosted some liquidity demand for the dollar. In addition, hawkish comments from Dallas Fed President Logan were supportive of the dollar when she said it may be "quite some time" before the Fed adjusts interest rates.
Gains in the dollar were muted Friday by US-China trade tensions after US Treasury Secretary Bessent said that trade talks with China were "a bit stalled," and President Trump accused China of violating its tariff agreement with the US. Also, Friday's Fed-friendly US core PCE price index, the Fed's preferred inflation gauge, was dovish for Fed policy and negative for the dollar.
