UUP - Long Lost Bond Vigilantes Sighted Gives Dollar Fillip
- US inflation accelerating more than expected, following which the US 10-year yield jumped, providing a nice concession at the quarterly refunding and lifting the dollar broadly.
- The sharp sell-off in US shares, which continues today, with the futures indices off 0.3-0.5%, knocked Asia-Pacific bourses 1-2% lower and the MSCI Asia Pacific Index is now nearly flat on the year.
- Europe's Dow Jones Stoxx 600 appeared resilient yesterday but is off about 1.3% today to bring the week's drop to almost 3%.
- The euro steadied in Asia-Pacific turnover but found sellers in the European morning.
- Emergingmarket currencies have a clear downside bias today.
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Long Lost Bond Vigilantes Sighted, Gives Dollar Fillip