The greenback is holding up after yesterday's poor performance
Or at least that's the case for now. Trading ranges remain relatively narrow for the most part with little changes across most major currencies. The focus for the dollar will turn towards the January FOMC meeting minutes release later in US trading, so that should keep traders at bay for the time being before searching for a further directional move.
However, near-term price bias in EUR/USD and GBP/USD are favouring buyers so that could help see some further pressure on the dollar regardless. The other key risk event for the latter will be May's visit to Brussels later this evening.
The kiwi is the weakest performer on the day so far, reversing some of its gains against the dollar overnight without much directional movement in general. Focus remains on US-China trade talks and risk sentiment for the kiwi.
Meanwhile, the yen continues to hold weaker after Japan's trade balance data showed a wider-than-expected trade deficit alongside a sharp fall in exports. The poor data there is fueling the fire from BOJ governor Kuroda's comments yesterday on further easing.
