Dollar extends recovery ahead of important data

Dollar rose in European trade on Thursday against a basket of major rivals, extending recovery for the second session off two-month lows. 

The recovery comes ahead of important US economic data on unemployment claims and factory output in October. 

The Index

The dollar index rose 0.2% to 104.55, with a session-low at 104.30, after rising 0.3% on Wednesday, the first profit in four days away from a two-month trough at 103.98. 

Dollar was buoyed by a rebound in US treasury yields after strong US retail sales data.

Gains remain limited as traders await important US data today, which will provide clues on the likely path ahead for policies next month.

The odds for a 0.25% US interest rate hike in December stand at just 2.5%. 

US unemployment claims are expected up to 221 thousand in the week ending November 11, from 217 thousand last week. 

US industrial output is expected down 0.4% in October.