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ForexLive European FX news wrap: Dollar steadies after slight drop, bonds stay in focus

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Headlines:

Markets:

  • CAD leads, CHF lags on the day
  • European equities lower; S&P 500 futures down 0.1%
  • US 10-year yields up 1.6 bps to 4.404%
  • Gold flat at $2,014.48
  • WTI crude up 1.1% to $75.70
  • Bitcoin up 0.4% to $37,200

It was a light session for the most part with major currencies not doing a whole lot. The dollar was slightly softer early on, especially against the yen and antipodean currencies. But as the session progressed, it managed to turn things around with USD/JPY paring losses from 148.00 to 148.70 before hovering around 148.40 levels now.

Meanwhile, AUD/USD and NZD/USD were both looking poised for key technical breaks against the dollar as seen here but are now settling to be little changed on the day. The outlook is still rather bullish for both pairs but gains on the day are being checked back for now at least.

Besides that, other major currencies were little changed but the Canadian dollar is leading the way with USD/CAD dropping from 1.3600 to 1.3575 as oil prices are recovering with OPEC+ seemingly settling whatever dispute they had previously this week. WTI crude is up a little over 1% on the day to $75.70 currently.

In other markets, equities remain tepid with European indices holding lower and keeping the slight downside this week. And looking over to Treasuries, things are calmer but keep in mind that we have the 7-year notes auction coming up later and that could yet spark another rally in bonds before all is said and done today.

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