Dollar rose in European trade against a basket of major rivals, recouping for the second day from six-month lows.
Recent strong US data underpinned chances of a 0.75% rate hike once more next week when the Federal Reserve officially convenes.
The Index
The dollar index rose 0.3% to 105.50, with a session-low at 105.02, after closing up 0.75% yesterday, the first profit in four days away from six-month lows at 104.11.
Services
Recent US data showed US services PMI rose unexpectedly last month, showing the services sector remains vibrant.
US Services PMI rose to 56.5 from 54.4 in the previous reading, easily beating estimates of 53.5.
Such data raised chances of a 0.75% rate hike by the Federal Reserve from 18% to 22% next week.
Fed's Meeting
The Federal Reserve is meeting next week to study economic developments and decide on policies, with the Fed expected to hike rates for the seventh meeting in a row.