-
US traders clean up the mess returning from holidays
Forex today had US traders returning to their desks to clean up a mess left behind by a weaker dollar and contradicting political and policy sentiment. The DXY was closing NY at 90.4110 after opening at 90.48 having traded in a day's range of between 90.3370 and 90.8260. US yields rose to 2.55% from 2.52% on the back of softer yields in Europe (Bunds 56bps, 10yr Gilts 1.30%). This was led by subdued German and Italian inflation and headlines that the ECB is unlikely to drop its pledge to keep buying bonds until inflation heads to target. Equity markets had a positive session too, but commodity prices came off again ... (full story)