The dollar has come back into favor in early European trade Thursday, with concerns about the mounting coronavirus cases and the impact on the economic recovery prompting a return to the safe haven. Initial jobless claims for the week ending June 21 are expected to be 1.3 million, while continuing jobless claims are expected to fall to 19.9 million.
The U.S. dollar posted gains in early European trade Thursday, as investors digested the latest downbeat comments from the Federal Reserve, while Asian data offered no real recovery clues. At 2:45 AM ET (0645 GMT), the U.S. Dollar Index, which tracks the greenback against a basket of six other currencies, stood at 99.403, up 0.3%, EUR/USD dropped 0.1% to 1.0962, while USD/JPY rose 0.2% to 107.76. Earlier Thursday, a trade report from South Korea, a bellwether for global commerce, showed exports may be set to drop more than 20% in May for a second month.
All this said, the lira isn't even close to being the worst performing emerging market currency this year - with the South African rand and the Brazilian real taking those 'plaudits'. The dollar has risen 34% against the rand and 30% against the real since Jan. 1.