US dollar finding fresh legs
The euro and Australian dollar have edged to fresh lows as the US dollar finds some residual strength.
There isn't anything fresh in the news, it's just a continuation of the dollar theme.
One interesting piece of chatter is in the bond market. There is talk the bid in bonds today could be related to month-end extensions and other calendar-driven buying. If that's the case, it could unwind in the day or two ahead and provide a fresh reason for dollar strength.
On AUD/USD, Predicted Markets notes that it's the eighth day in a row that the pair has broken the previous day's low. That's only lasted for a ninth day twice in the past 14 years. That argues for a small, short-term long from these levels (maybe for 40 pips) with a stop at the May low of 0.7715.
