Dollar Index still strong
The unemployment claims data have not shown improvement in the labor market, but it is still a solid number not a disaster. The initial reaction from traders was negative, but as they digested the news, the direction has changed and this is due to the confidence amid investors what Janet Yellen has said about the rate hike.
This is not the last important piece of economic data of course for this week as we do have the final revision of the US GDP for Q1 and if this falls in the contraction territory, which is highly likely and could scare a lot of people then obviously it could change the picture, but not by much, as the focus remains towards the next quarter.
But, next week is going to be extremely volatile for the dollar index with Greece payment due and OPEC gathering.