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Dollar Gains for Second Week as Bulls Look Past Decline in GDP

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The dollar had the biggest back-to-back weekly gains versus the yen since November, shrugging off downbeat U.S. economic data as investors see the Federal Reserve moving closer to raising interest rates this year.

The greenback was little changed against most of its major peers as revised data showed the U.S. economy hit a bigger ditch in the first quarter than initially estimated. Bulls are counting on an improved U.S. jobs market and signs inflation is picking up to lead to higher borrowing costs, while central banks in Japan and the euro region keep applying monetary stimulus to revive their economies.