Breaking News
Ad-Free Version. Upgrade your experience. Save up to 40% More details

U.S. Dollar Edges Higher In Asia

By MarketPulse (Jeffrey Halley)ForexApr 12, 2021 06:44AM ET
U.S. Dollar Edges Higher In Asia
By MarketPulse (Jeffrey Halley)   |  Apr 12, 2021 06:44AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items

Higher US yields lift dollar

With risk concerns aplenty this morning, the US dollar index has risen 0.10% today to 92.26, after rising 0.12% on Friday, in a day marked by large ranges amongst DM currencies and very choppy trading. Although ignored by US stock markets, the rise in US treasury yields stopped the US dollar sell-off in its tracks, and abruptly reversed its course.

EUR/USD is almost unchanged at 1.1890 today, and although it may face some pressures from a stronger greenback this week, the breakout of its falling wedge formation is still very much in play. EUR/USD would need to fall through 1.1700 to invalidate its bullish technical outlook. Sterling’s outlook is somewhat cloudier, with vaccination fears and EUR/GBP buying continuing to pressure the cross. GBP/USD is at 1.3688 today, just above support at 1.3675, a triple bottom and its 100-day moving average (DMA).

USD/JPY remains in consolidation mode at 109.60, but both the Australian and New Zealand dollars appear to have run out of upside momentum, suggesting that peripheral risk concerns in currency markets have increased. AUD/USD hit a brick wall ahead of 0.7700 last week, and a loss of 0.7600 implies a retest of 0.7500. NZD /USD failed multiple times at 0.7070, and failure of 0.7000 risks a retest of the low 6900’s.

In Asia, those risk concerns are also making themselves felt. Although USD/CNY is steady at 6.5550 today, USD/KRW and USD/INR have spiked 0.45% higher, while USD/IDR has risen 0.35% to 14,625.00, through the central bank’s line in the sand at 16,500.00. The Thai baht has also fallen, with USD/THB increasing 0.30% to 31.563. Covid-19 will be driving the won, rupee and baht weakness, while the rise in US yields has had an immediate impact on the rupiah. I expect the central banks of all four countries to be in “smoothing” today.

The moves in the Australasians and Asian markets highlight the increased risk sensitivity over rising Covid-19 cases and the potential for higher US yields again this week. Investors ignore those warning signs at their peril, with complacency reaching record levels last week from the author’s point of view.

Original Post

U.S. Dollar Edges Higher In Asia

Related Articles

Kathy Lien
GBP: What To Expect From BoE By Kathy Lien - May 05, 2021 5

Next to Friday’s non-farm payrolls report, tomorrow’s Bank of England monetary policy announcement is the second most important event of the week. Like the Reserve Bank of...

Blake Morrow
Chart Of The Day: NZD/JPY By Blake Morrow - May 05, 2021

We have identified this wedge setup for the last couple weeks on NZD/JPY, but we are now at that point that the apex of the wedge may see a breakout in the coming session(s). A...

U.S. Dollar Edges Higher In Asia

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
Sign up with Email