Markets:
- Gold down $10 to $1915
- WTI crude oil down $0.10 to $89.94
- US 10-year yields up 10 bps to 4.54%
- S&P 500 up 0.45%
- CAD leads, EUR lags
The bond market continues to wilt and that helped USD/JPY break last week’s highs and continue up to 148.97. It’s probably no coincidence that the pair stopped just ahead of the big figure as the market treads carefully around intervention. That said, the move was well-justified with US long-dated yields moving up dramatically again and hitting new cycle highs.
That same dynamic led to a broad USD bid and a fall in EUR/USD though 1.06.