The US dollar rebounded on Thursday, and there were hints of lingering risk aversion behind the move.

The US dollar index broke straight through support , and extended its losses for the sixth day in a row.

The US Dollar could see a bit of a bounce in coming days following Tuesday’s extensive declines.

What should we expect next for the dollar?

The news still leaves the odds in favor of an aggressive rate cut by the Federal Reserve next week.

Looking ahead to Friday, the Commerce Department’s release of US retail sales at 8:30 ET is forecasted to fall negative for the fifth straight month in November at a rate of -2.0 percent.

Will we see a break lower tomorrow?

The dollar was pushing higher through the Asian and European sessions owing to a rebound in risk aversion.

The lack of volatility was surprising considering the fact that the ECB cut interest rates by 75 bps, which was the biggest since the single currency was instituted.

Despite these terrible numbers which highlight the terrible shape of the U.S. economy, the US dollar didn’t get crushed as many analysts would expect.