Month-end trading will keep things interesting today but it looks like the dollar is getting back to where it left off from last week. Lower Treasury yields did hurt the greenback yesterday but so far today, the currency isn't fazed by that same sentiment today. EUR/USD is down 0.5% now to test the lows for the week:
Granted, the euro isn't really helped by traders paring back ECB rate hike bets on the softer inflation numbers from France earlier today.
But looking at the EUR/USD chart, there is scope for the downside to extend towards the March lows next just above the 1.0500 mark.
Elsewhere, GBP/USD is also down 0.4% to 1.2365 as buyers quickly lose their conviction following yesterday's rise above 1.2400. Then, we have AUD/USD down 0.6% to 0.6480 and NZD/USD down 0.6% to 0.6000 at the moment. I pointed out the charts for both pairs here earlier as they are trading to their lowest levels for the year.
The only other currency going toe to toe with the dollar right now is the Japanese yen, with USD/JPY down 0.2% to 139.55 but off its earlier low of 139.33 today. The pair remains heavier in light of lower Treasury yields, with 10-year yields seen down 3.8 bps to 3.657% at the moment.
