USD Dips Supported Amidst Range Bound Day

The USD has stayed on the front foot today, but overall moves have been modest. US yields have edged up, despite lower oil prices. Safe havens have outperformed the commodity FX bloc though.

• USD/JPY has dipped below 130.00 on a number of occasions but has seen demand below this level. The BoJ's Adachi reiterated the central bank's dovish outlook, noting it is too early to tighten monetary policy.
• EUR/USD is close to unchanged on the day at 1.0650/55, up moves capped by the uptick in US yields.
• AUD hasn't received much support from the stronger than expected trade surplus figures, coming in at just under A$10.5bn, versus A$9bn expected. This owed to lower than expected import growth (-1% versus +1% estimated), while exports rose as forecast (+1%). Weaker equity market sentiment in Asia Pacific markets has weighed.
• NZ's terms of trade rose by 0.5%, but this was less than the market forecast (+1.3%). NZD/USD has drifted a little lower to 0.6475.
• CAD and NOK have underperformed the safe havens, down 0.13% and 0.25% respectively against the USD from NY closing levels. Oil prices have remained under water today, following reports that Saudi Arabia could bring forward production increases scheduled for later in the year. Crude is up from its lows though.
• USD/CNH has pushed higher again, but found offers above 6.7100. USD/KRW spot is up over 1% to be back above 1250. This reflects some catch up from yesterday, where onshore markets were closed. Most other USD/Asia pairs are higher.