The dollar snoozes after GDP hits a 2-year high

The dollar was little changed after data showed US economic growth was stronger than initially reported in the second quarter.

The US dollar index was down by 0.1% at 93.23 at 8:55 a.m. ET.

The index jumped to its highest level in over a month on Wednesday following comments made by Fed Chair Janet Yellen a day earlier.

Still, it’s down by about 9% since US President Donald Trump’s inauguration.

Gross domestic product (GDP), or the value of everything produced and sold, rose by 3.1%, faster than the previously reported estimate of 3.0%, according to the Commerce Department.

The second-estimate boost to growth came from stronger-than-expected consumer spending, which is usually the biggest contributor to GDP.

Initial claims, however, rose by more than expected. Claims came in at 272,000, above expectations of 270,000, and above last week’s upwardly revised reading of 260,000.

Check out the full report on GDP from Business Insider’s Akin Oyedele.

In other FX news, here was the scoreboard at 8:59 a.m. ET:

  • The euro was up 0.2% at 1.1770 against the dollar. German CPI rose 0.1% month-over-month in September, as expected, while Spain’s HICP rose 1.9% year-over-year in September, below expectations of 2.0%.
  • The British pound was higher by 0.2% at 1.3414 against the dollar. Earlier, Bank of England Governor Mark Carney said the central bank has limited power to prevent the upcoming painful economic adjustments resulting from Brexit.
  • The Japanese yen was little changed at 112.75 per dollar. Reuters reports Bank of Japan Governor Haruhiko Kuroda said the economic expansion is broadening and likely to be highly sustainable.
  • The South African rand is up by 0.2% at 13.5586 per dollar after PPI surprised on the upside, rising 4.2% year-over-year in August above expectations of 4.1%.
  • The Indian rupee was little changed at 65.440 per dollar.
  • The Russian ruble was stronger by 0.2% at 58.0701 per dollar.

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