US Dollar Index unable to recover, hovering around 93.35

• USD losses strength after US data, remains supported by yields. 
• DXY flat for the day, holds bearish tone. 

The greenback is trading mixed on Thursday. It is gaining versus European currencies and the yen while it is lower versus CAD and AUD. 

The US Dollar Index dropped to 93.32 after the release of US economic data and at the moment of writing it was trading at 93.35, unchanged from yesterday’s close. 

The new estimation of US Q3 GDP was revised lower to a 3.2% annualized growth pace (down from 3.3%). Despite the downward revision, it was the best quarter since the first quarter of 2015. The Philly Fed showed better-than-expected numbers while initial jobless claims rose more than expected to the highest level in five weeks. 

Market continue to move in a low volume environment ahead of holidays. US yields hold at multi-month highs offering some support to the greenback. The 10-year yield remains near the 2.50% benchmark. The Dow Jones was up 0.40% at 24,830.

DXY Technical levels 

The technical outlook continues to favor the downside in the short-term but so far it has been able to hold above the 93.30 area that is a relevant support. A break lower would add negative momentum, exposing 93.15 (Dec 20 low) and then 93.00. On the upside, 93.50/55 is the unmediated resistance, followed by 93.70 and 94.00 (Dec 15 high).