The U.S. dollar rebounded from recent losses and scored gains against most of its major rivals on Thursday on safe haven buying after equities turned weak amid concerns over inflation and the economic impact of the war in Ukraine.
In addition to digesting the latest batch of economic data, traders looked ahead to the crucial monthly jobs data, due on Friday.
Economists currently expect the report to show employment jumped by 490,000 jobs in March after surging by 678,000 jobs in February. The unemployment rate is expected to edge down to 3.7 percent from 3.8 percent.
The jobs data could impact expectations regarding how quickly the Federal Reserve plans to raise interest rates in the months ahead.
Data from the Labor Department showed initial jobless claims edged up to 202,000 in the week ended March 26th, an increase of 14,000 from the previous week’s revised level of 188,000. Economists had expected jobless claims to inch up to 197,000 from the 187,000 originally reported for the previous week.
A report released by the Commerce Department showed personal income rose by 0.5% in February after inching up by a revised 0.1% in January. Economists had expected personal income to climb by 0.5% compared to the unchanged reading originally reported for the previous month.
The report said personal spending edged up by 0.2% in February after surging by an upwardly revised 2.7% in January. Personal spending was expected to increase by 0.5% compared to the 2.1% jump originally reported for the previous month.
A reading on inflation said to be preferred by the Federal Reserve showed the annual rate of core consumer price growth accelerated to 5.4% in February from 5.2% in January.
The dollar index climbed to 98.40, gaining about 0.6%.
Against the Euro, the dollar strengthened to $1.1070 from $1.1161.
The dollar is trading at $1.3145 against Pound Sterling, down slightly from the previous close of $1.3135.
The dollar is fetching 121.69 yen a unit, less than 121.83 yen on Wednesday.
Against the Aussie, the dollar has firmed to 0.7490 from 0.7509.
The Swiss franc is at 0.9234 a dollar, little changed from the previous close of 0.9232.
The dollar is stronger against the Loonie, fetching C$1.2499 a unit, up from C$1.2480, as crude oil prices fell on news the U.S. is set to release 1 million barrels of oil per day from the nation’s Strategic Petroleum Reserve for the next six months.