FX Update: The dollar recouped some lost ground
FX Update: The dollar recouped some lost ground after posted fresh losses in Asia and in the early European AM session. The USD index (DXY) was off its lows but showing a 0.3% decline as of the early London PM session. EUR-USD settled back toward the mid 1.24s after logging a two-week high of 1.2510, and USD-JPY recouped above 106.70 after making a 15-month low of 106.30 during the Tokyo session. AUD-USD saw a similar price action to EUR-USD, having been largely unaffected by the near-expected Australian employment report today. There have been market narratives talking up the incongruity of recent dollar declines in the face of a marked spike in U.S. Treasury yields versus major counterparts, particularly Japan and Australia, which were exacerbated by yesterday's perky U.S. CPI data. Such conjecture accompanied the dollar's lift from lows.