Market Movers: Dollar slightly firmer in the thin Asian trade – TDS

FXStreet (Barcelona) - Prashant Newnaha, Strategist at TD Securities, summarizes the market performance during the Asian trading session, noting that overnight US data added some support to the dollar.

Key Quotes

“Trading conditions were extremely thin with the entire Asian region, save for Japan closed for Labour Day. Although the US claims and ECI data did little to support the DXY in overnight trade, the DXY is +0.3% firmer and is sitting bang on the 100 day moving average.”

“The NZD underperformed for another session, with comments from NZ’s Finance Minister Bill English alluding to the RBNZ cutting rates if inflation stays persistently low. The NZD is off –0.35% to US$0.7590 with the Yen and the AUD both 0.25% weaker while the EUR is off 0.1%.”

“US 10yrs yields are nearly 2.5bps higher at 2.055%, ACGB 10yrs +3.5 bps to 2.68% while NZ 10yrs are +2.5bps higher in yield to 3.47%.”

“ACGB and NZGB short end yields are unchanged, but the Aus 3s10s futures curve is 5 ticks steeper at 76. The Nikkei is down -0.5%.”

“In the commodity patch, gold is US$2 weaker, unable to recover after the sharp sell off last night at US$1182, copper futures are unchanged as is the front brent futures contract at US$66.75.”

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