USD Recovers Further, Helped By Data Outcomes

USD gains have extended. The BBDXY last above 1260.25, around 0.15% firmer.

• At this stage AUD is the weakest performers in the G10 space. NZD and JPY aren't too far behind.
• For AUD/USD we have had weaker than forecast retail sales data (-0.4% m/m, versus +0.2% forecast). The pair is back near 0.6540, around 0.40% weaker. China PMI details were mixed, with manufacturing outcomes slightly higher than forecast but services noticeably below expectations.
• NZD/USD is off around 0.30% to 0.5960. Earlier survey data showed confidence and activity moving off recent highs.
• USD/JPY is up back to 156.80/85, around 0.35% weaker in yen terms. Session highs in the pair were just under 156.99. The general yen trend has been weakness, as the market tests the waters post yesterday's strong rebound amid intervention speculation.
• In the cross asset space, US yields are close to 1bp lower across the benchmarks, while US equity futures are steady. In terms of regional equities, sentiment is mostly positive, albeit not to the same degree as we saw yesterday.
• Data outcomes are light for the remainder of the Asia Pac session.