FOREX-Dollar index add gains on U.S. Q2 GDP data

NEW YORK, July 30 (Reuters) - The dollar briefly extended its earlier gains against a basket of currencies on Thursday as data showed the U.S. economy improved from a meek first quarter, supporting the view the Federal Reserve would raise interest rates by year-end.

The U.S. Commerce Department said gross domestic product expanded at a 2.3 percent annual rate, falling short of a 2.6 percent pace forecast by economists polled by Reuters.

First (Other OTC: FSTC - news) -quarter GDP, previously reported to have shrunk at a 0.2 percent pace, was revised up to show it rising at a 0.6 percent rate.

The dollar index was last up 0.4 percent at 97.396 after reaching a session peak of 97.591 shortly after the release of advance second-quarter GDP data. (Reporting by Richard Leong)