Seems pretty intentional that these officials do not want this Usd sitting above 120-handle for various reasons. One of which is the local elections in April and other is the TPP. UsdJpy traded down to 119.495 where reports of macro bids were reported. Keep an eye on the stops surrounding 119.40 and 119.20. On the options space, there are several strikes at 120.00 maturing today and next few days as well.
Hearsay bids in Gbp from 1.5330’s to 1.5310.
UsdCad tested downside when Aud jumped but US names were better buyers and took UsdCad from low 1.2490’s to 1.2504.
From our rates trader Pawan – The bond markets continue to slip, Treasury Futures has just made a fresh low, and curves continue to steepen. The huge outflows from bond bunds are clearly indicative of less demand for yield at these levels, and would also explain why corporate treasurers so keen to issue here while they have the chance. Supply is heavy, and other than central banks, there are not many others in terms of buyers. US10y yield delicately poised on the 100dma at 2.13%.