Dollar pares gains in mixed flows to start the session

The dollar has surrendered its early gains against the euro, pound, and the commodity currencies mostly. The ranges for the day are decent at best but not really anything major for the most part. EUR/USD is back up to 1.0807 now, after closing in on key technical levels outlined here. As a reminder, there are large option expiries in play for the pair at 1.0800 as well.

The dollar is still marked lower against the yen and franc, with both currencies still holding a modest advance on the more sluggish risk mood. USD/JPY is down 0.4% to near 157.00 but off earlier lows of 156.55 at least.

There are some mixed flows in play to start European morning trade. Regional indices saw red at the open but have pared most of those declines now to keep little changed on the day. S&P 500 futures are still down 0.5% though.

In the bond market, 10-year yields in the US are also still holding lower by 3 bps to 4.595% at the moment.

It’s looking like we’re getting a bit of a taste of that month-end mischief to start the session.

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