The US dollar was broadly higher last week. It seemed as if the inexorable rise in US interest rates may be beginning to give it some traction. The US 10-year yield made a marginal new four-year high, creeping closer to 3%, while the US premium over Germany surpassed 300 bp for the first time. The Dollar Index's four-day advancing streak, which it will try to extend next week, is the longest in two months. It is important to recognize, however, that there has been no breakout yet. The Dollar Index remains in the broad 89.00-91.00 trading range. It did not make a new high for the month. That is to be found near 90.60. ... (full story)