The US dollar rose in European trade on Friday against a basket of major rivals, resuming gains after a short hiatus, and approaching three-month highs once more.

The gains come amid a surge in US 10-year treasury yields after bullish remarks from some Fed officials, and strong US data, which hurt the odds of an aggressive pace for US interest rate cuts this quarter.

The Index

The dollar index rose 0.1% today to 104.14, with a session-low at 103.98.

The index lost 0.4% on Thursday, the first loss in four sessions, moving away from three-month highs at 104.57.

Weekly Trades

Across this week, the index is up 0.7% so far on track for the fourth weekly profit in a row.

US Yields

US 10-year treasury yields are up over 2.5% this week, hitting three-month highs at 4.260%.

Dallas Fed President Lorry Loan said shes confident of the economys stability and strength, but called for caution nonetheless and for gradual policy easing.

Recent data showed unemployment claims fell for the second straight week while industrial and services activities rebounded.

US Rates

According to the Fedwatch tool, the odds of a 0.25% Fed rate cut in November stood at 96%, with a 4% chance of no changes in policies.

Now investors await US data on durable goods orders and consumer confidence later today.