The dollar was higher against the euro on Friday but lower versus other major currencies. US GDP rose at a 2.4% annualized pace in Q2 2010. While Q1 GDP was revised higher, estimates back to 2007 were revised lower. The S&P 500 increased 0.07 to 1,101.60. The euro fell from yesterday’s nearly 3-month high. Sterling traded at $1.5689 today, compared with $1.5612 yesterday.

• The dollar fell versus its counterparts on Thursday. The 4-week moving average of US initial jobless claims decreased to the lowest level since May 8. The S&P 500 declined 4.60 to 1,101.53. The euro rose to $1.31 for the first time since May 4 as euro-area economic sentiment climbed to the highest level since March 2008. The yen strengthened to 86.79 against the dollar at 5:28 pm in NY, from 87.35 yesterday.

• The dollar dropped to an almost 2-week low versus the yen on Wednesday. US durable goods orders unexpectedly decreased in June. The Federal Reserve said in its Beige Book that US economic growth eased in some areas over the past two months. The S&P 500 declined 7.71 to 1,106.13. The euro traded at $1.2989 today, compared with $1.2999 yesterday.

The dollar traded mostly higher on Tuesday. US May 20-city home prices posted the largest year-over-year gain since August 2006, but July consumer confidence fell to a 5-month low. The S&P 500 declined 1.17 to 1,113.84. The euro rose to a 2-month high versus the yen after data showed German consumer sentiment will rise in August.

The dollar fell and risk appetite rose on Monday, pushing interest rates and equity prices higher. June US new home sales beat estimates and FedEx raised its earnings forecast on rising demand for international express shipments. Federal Reserve Bank of Philadelphia President Charles Plosser said he sees no need for more monetary stimulus.

Economic optimism returned on Thursday, supporting risk-prone currencies against the dollar and yen. Stocks, commodities and interest rates rose on better-than-expected economic and corporate earnings reports. Federal Reserve Chairman Ben Bernanke told Congress that “we are ready and we will act if the economy does not continue to improve” and reassured investors that further stimulus would be there if needed. US June existing-home sales declined less than anticipated; May FHFA house prices rose for a third consecutive month; and the June LEI fell marginally less than expected.

• The dollar and yen gained on Wednesday. Federal Reserve Chairman Ben Bernanke said in testimony to the Senate Banking Committee that the Federal Open Market Committee did not have any immediate plan to bolster the economic recovery despite what he called an “unusually uncertain” outlook. Bernanke said the Fed policy makers “expect continued moderate growth, a gradual decline in the unemployment rate, and subdued inflation over the next several years.”

The dollar traded mixed on Tuesday ahead of Federal Reserve Chairman Ben Bernanke’s semiannual congressional testimony on the economy tomorrow. June US housing starts decreased to the lowest level since October 2009 and employment fell in 27 states led by declines in California and New York. However, a more-than-expected increase in June building permits substantiated the claim that the US housing sector is stabilizing.

The greenback traded mixed on Monday. The S&P 500 rose 6.37 to 1,071.25. The yen declined slightly versus the dollar. The euro gained against most of its major counterparts. The EUR/JPY advanced to…