Given the explosion higher in yields this month, this is the kind of move you would have expected in the US dollar long ago. Instead, it's coming today as yields finally stabilize.
I don't think that's a coincidence. The rout in bonds this month was likely squeezing out liquidity and bond holders ,rather than attracting relative value dollars. Or those dollars were swamped by the flows.
Now with yields trying to find a bottom (no telling if they have), the dollar is free to exploit widened spreads.
On top of all that, there are pockets of belief that month end/quarter end has pushed everything too far.
With all that, it's tough to wade into any of this.
