A quieter mood ahead of European trading today

Major currencies are little changed so far with the dollar keeping steadier on the day. The greenback caught a breather in trading yesterday, after having dealt with a setback following the opening gap higher on Monday. Tariff fears are receding and that’s led to the turnaround in sentiment, with the focus now shifting back to key US data.

Most dollar pairs are seeing light moves with narrow ranges on the day, with the exception of USD/JPY. The pair briefly dipped under 151.00 earlier, with the yen helped out by a strong surge in household spending data here. That being said, I’d still attribute most of the move in the pair this week to the bond market.

This drop in 10-year Treasury yields is something to note, with yields keeping at around 4.44% today. Besides that, USD/JPY also cracked under a key technical support region as pointed out here.

Looking elsewhere, US futures are also more tepid today with S&P 500 futures down 0.1%. Meanwhile, gold is up slightly by 0.2% to $2,861 as the buoyant mood holds.

It’s now over to the US jobs report to vindicate the market moves in the last few days.

This article was written by Justin Low at www.forexlive.com.