Anna 
The dollar stabilized on Friday, poised for modest weekly gains despite a setback on Thursday triggered by data showing a larger-than-expected increase in weekly jobless claims.
The report indicating a cooling U.S. labor market reinforced expectations that the Federal Reserve could commence interest rate cuts by September.
However, persistent inflation remains a crucial factor for the Fed, with several officials cautioning about it this week, remarks that provided support to the dollar.
San Francisco Federal Reserve President Mary Daly emphasized the “considerable” uncertainty surrounding U.S. inflation in the coming months during remarks on Thursday.
“In a scenario where inflation remains relatively stable without significant progress, it would not be appropriate to adjust rates unless we observe weakening in the labor market,” she added.
These statements highlight the significance of the upcoming consumer price index data scheduled for release next week, which will provide further insights into the trajectory of interest rates.
