Dollar slips in European morning trade
While risk is leaning towards being more defensive today, it isn’t quite providing much comfort for the dollar as 10-year Treasury yields fall to 1.32%, down 2 bps on the day.
The greenback is trading to session lows now as USD/JPY falls to 109.90 from 110.20 earlier and even the aussie and kiwi are posting 0.2% gains against the greenaback.
Cable is even marked higher, trading up to 1.3795 and testing its 200-hour moving average (blue line) currently @ 1.3794:
Keep below that and sellers retain near-term control but push above that and 1.3800 and buyers will seize back some poise to try and test the 100-hour moving average (red line) @ 1.3811 next perhaps.
The push and pull in the dollar adds to the confusing message from the bond market this week as the market continues to try and sort out the mixed economic signals and key central bank views after the US non-farm payrolls miss last Friday.
Elsewhere, European indices are seen down around 0.3% to 0.9% while US futures are down 0.3% on the session currently.