Dollar stabilizes at elevated levels after surging Yesterday
Overview: The dollar has steadied after surging yesterday and has so far retained the lion’s share of its gains, though it remains lower against most major currencies today. The dollar-bloc and Norwegian krone are the best performers while the yen is underperforming. The freely accessible emerging market currencies, including the Russian rouble, Mexican peso, Turkish lira, and South African, are the strongest. The JP Morgan Emerging Market Currency Index is stabilized after falling nearly 1% yesterday. The bond market rally that took the US 10-year yield below 1.35% and the 30-year below 2.0% extended today by a few basis points but have stabilized. European bond yields are also softer, and several countries have seen their yields fall to fresh three-month lows. The MSCI Asia Pacific Index fell for the second session, though Chinese and Australian stocks gain. Europe’s Dow Jones Stoxx 600 is recouping…
