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Dollar Remains Weaker

FOREX

The USD remains on the backfoot. The BBDXY now off 0.15%, last near 1237. Yen and NZD remain the strongest performers. NZD/USD is up 0.45% last near 0.6180/85. USD/JPY is back to 147.70, +0.30% stronger in yen terms, slightly up from session lows. AUD/USD trails modestly, up 0.25%, last near 0.6620.

  • There hasn't been any obvious major catalyst for these extended gains. If anything, US yields are away from earlier lows. US equity futures remain in the red.
  • We had slightly better Japan data earlier, at least relative to expectations, while Asia Pac PMIs mostly improved. Trade bellwether South Korea also showed a stronger than expected rise in exports for Nov, pointing to some improvement in global trade trends.

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