FX Action: The dollar is picking up some bids
FX Action: The dollar is picking up some bids, which has sent EUR-USD and AUD-USD to respective intraday lows at 1.1370 and 0.7301. Cable has concurrently turned lower after failing another attempt to sustain gains above 1.2800, which has been a repeating theme over the last couple of days. USD-JPY has lifted, though the magnitude of movement in this pairing has remained relatively limited. USD-CAD has lifted back above 1.3300 for the first time since Wednesday. There doesn't appear to have been any particular news catalyst behind the buying spree, while some market narratives are pointing to a dollar short covering dynamic ahead of the Trump-Xi risk event. There had been a flurrying of dollar shorting after Fed chair Powell's dovish-leading signalling on Wednesday. The USD index (DXY) is presently at 96.89 bid, up from yesterday's one-week low at 93.63.