From earlier: The bond market bends but don't break just yet
The narrative there is still keeping markets on edge but as the situation calms down for now, we are seeing overall sentiment fare better again today. The dollar is holding steadier, with currency traders not having much appetite to test the waters before the next round of US data.
The changes among dollar pairs today leave a lot to be desired, with the likes of EUR/USD resting within a 30 pips range only. That being said, the pair itself is mired by large option expiries so there's that to consider. USD/JPY is also just marginally higher by 0.1% to 148.27, after a brief dip to 148.15 earlier after this headline.
Besides that, the changes are light with the commodity currencies holding slightly lower but nothing that stands out all too much. For some context, the 0.4% drop in AUD/USD is only leading to a weekly change of -0.2% for the pair now this week. So, there's still a lot of pushing and pulling going on.
Looking to what's left for the week, everything rides on what US data will bring to the table next. We already got a taste of how markets may respond from the JOLTS job openings yesterday here.
Later today, we'll have the ADP employment change, weekly initial jobless claims, and ISM services PMI. All that before the non-farm payrolls tomorrow, which will be the main event for markets before the weekend.
