Dollar Gains on Positive US Labor News and Higher Bond Yields

The dollar index (DXY00) rallied to a 1-week high today and is up by +0.25%.  The dollar is moving higher today as T-note yields climb after weekly US unemployment claims unexpectedly fell to a 1-month low, a hawkish factor for Fed policy. Also, the weakness in stocks today has boosted some liquidity demand for the dollar. Questions about the Fed's independence are limiting gains in the dollar after President Trump said Monday evening that he "still might" fire Fed Chair Powell.  Also, strength in the Ch ...