The dollar index recovered from a seven-week low to finish nearly flat after the July ISM manufacturing index rose to a four-year high of 55.6, exceeding expectations of 53.9. The stronger-than-expected reading signaled US economic strength and helped the dollar erase early losses that had been driven by easing Middle East tensions and a 5% drop in WTI crude oil prices. Dovish comments from New York Fed President John Williams, who said rates are well positioned and inflation should ease in the second half of the year, limited the dollar's gains. The euro slipped from a one-and-a-half-month high after the Eurozone July S&P manufacturing PMI was revised down to 51.9 and German June retail sales fell 1.1% month-over-month, the biggest decline in 13 months. The yen rallied to a two-and-three-quarter-month high against the dollar after Japan's Ministry of Finance confirmed a coordinated yen-buying intervention with the US Treasury on July 31 and warned of further action.