The buck gets tipped over late in the European day as Treasury yields turnaround and late Greek news
USDJPY has fallen to 123.14 as the weight of US yields and a general risk off sentiment took control. US 10's dropped to 2.33% but have recovered to 2.36% and that's given support to the currency which is back to 123.34
Cable has burst higher on the bucks weakness, and that looks to have caught traders out as there wasn't a lot of resistance in the way to 1.5570 initially. Stops were taken out on a break of 1.5550/55 strong offers at 1.5600 have put a top in for now
The euro was meandering around but the latest Greek headlines at least reduce some of the risk of bad news coming out of the sorry saga over the weekend.
Aside from the risk off feel, the speed of the moves has a whiff of profit, taking particularly in bonds
European stocks are well down at the provisional close
- FTSE -0.9%
- Cac -1.5%
- Dax -1.3%
- Ibex -1.8%
- FTSE Mib -1.3%
European bonds
- Italy 2.22% +8bp
- Spain 2.26% +13bp
- Portugal 3.05% +15bp
- Germany 0.850% -3bp
- Greece 11.75% +52bp