The U.S. dollar has ticked higher today. In fact, the dollar index is now headed for its best monthly performance since November. The PowerShares DB U.S. Dollar Index Bullish ($UUP) is up more than 1% in the last one month.
The dollar has been gaining momentum ever since the minutes of the Federal Reserve’s most recent monetary policy meeting showed that the central bank is open to a rate hike in June itself if the economy remains on track. This morning there was further evidence that the economy, indeed, remains on track.
The second reading on the U.S. GDP showed growth of 0.8%. Of course, the most important piece of data that the Fed will watch out for is the non-farm payrolls report for the month of May, which is scheduled to be released next week.