Dollar sells off after comments by Chinese officials to consider halting UST purchases

US dollar is weaker across the major bloc

It's turning into a bloodbath now for the dollar. It's down across the board following comments by Chinese officials here that they would consider either slowing down or halting purchases of US Treasuries.

USD/JPY falls below 200-day MA to session lows and is now looking likely to see a move further down to the support levels at 110.84.

Meanwhile, EUR/USD is up to session highs of 1.1979, while cable has rebounded strongly back to 1.3528 after slipping below 1.3500 earlier here. Things could get very ugly for the US dollar today, watch this space.