Greenback Firms, Weaker Equities Weigh On Risk Sentiment

The greenback is firmer in the Asian session today, regional equities and US equity futures are softer weighing on risk sentiment.

• Yen is little changed and is outperforming as risk off flows support the JPY. USD/JPY is ~0.1% softer however the pair did print a session low of ¥132.55 below parting losses to deal at current levels.
• AUD is pressured, amid the equity pullback, and is the weakest performer in G-10 space at the margins. There were no new hawkish surprises in Gov Lowe’s appearance at a Senate committee. The pair deals at session lows $0.6930/40, downside support comes in at $0.6856 the low from 6 Feb.
• NZD/USD is also softer as weaker risk sentiment weighs. The pair is dealing at session lows, downside breaks of $0.63 have been supported in recent trade. AUD/NZD is ~0.2% softer, dealing a touch above the $1.10 handle.
• EUR and GBP are both ~0.2% softer, as the broad based USD bid weighs.
• Cross asset wise; Hang Seng is down ~1.3% and e-minis are down ~0.4%. BBDXY is up ~0.2%, since breaking above its 20-day EMA in early Feb the index has found support on the EMA and it is now emerging as a level to watch. The index dropped below the 20-day EMA post yesterday US CPI but recovered as rising US yields boosted the greenback.
• In Europe today we have CPI/RPI from the UK, further out there is Empire Manufacturing and US Retail Sales.