Dollar Marginally Extends Post-CPI Losses

The Greenback has been pressured through the Asian session, BBDXY has breached its post-CPI lows and is down ~0.1%. However ranges across G-10 do remain narrow. US Tsys Yields are a touch softer and e-minis are up ~0.2%. The PBOC injected the largest amount of cash since 2016 to the banking system which also aided sentiment.

• Kiwi is the strongest performer in the G-10 space, NZD/USD is up ~0.3% and sits at its highest level since 11 Oct. Bulls now look to target the 200-Day EMA ($0.6565).
• AUD/USD pared early losses and sits a touch above the $0.65 handle. Q3 WPI came in as expected and there was little reaction in FX markets. Technically the bull cycle is still in play, resistance comes in at $0.6522 high from Aug 30 and $0.6582 50.0% retracement of Jul 13 - Oct 26 bear leg. Support is at $0.6339 low from Nov 10.
• Yen is marginally pressured after Japan's flash Q3 GDP print was softer than forecast. USD/JPY has trimmed some of yesterday's losses and is up ~0.1% at ¥152.55/60.
• Elsewhere in G-10 the broader USD move has been reflected, most majors are marginally firmer.
• The UK CPI print provides the highlight in Europe today.