Dollar Drops on Renewed Trade Uncertainty, Soft Economic Data

Underwhelming US economic data weighed on the dollar on Thursday, amplifying investor uncertainty about the outlook for growth as a federal appeals court temporarily stayed a ruling that had blocked the Trump administration’s global tariffs.

A Bloomberg dollar gauge slumped alongside Treasury yields after data showed weekly jobless claims rising more than expected and US gross domestic product shrinking in the first quarter. The releases followed a halt by the US Court of International Trade to many of the administration’s sweeping levies launched last month, a move that was paused by the US Court of Appeals for the Federal Circuit.