The dollar hits a 4 ½-year high against the yen as US 10-year Treasury note yield rose to the highest since April 2002, which encouraged carry trades. Rising global bond yields and widening yield premiums of US bonds over Japan’s equivalents support the dollar.
The greenback strengthened against the euro earlier following a robust US retail sales report. US retail sales brose 1.4% in April, reversing a 0.2% decline in the previous month and beating the estimate of 0.6%. Excluding automobiles, core retail sales grew 1.3%, above the forecast of 0.2%.
The losses in the euro and sterling versus the dollar were limited by substantial difference in the central bank rate outlook between European and US. The euro rebounded to break 1.33 level against the dollar and the sterling stays above 1.97 versus the dollar.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment