Weaker Treasury yields is helping to keep the yen underpinned
Risk sentiment is slightly more on the cautious side with Asian stocks mostly weaker but Treasury yields holding weaker is what is driving the move in the yen so far today. 10-year yields are near session lows, down by 2.6 bps to 1.948% currently, and that's helping to drive the yen a little higher to start the session.
Other major currencies remain more steady with little change against the dollar as narrow ranges continue to prevail. EUR/USD sits in a 11 pips range with large expiries seen around 1.1290-00 likely to play a role in limiting price action today.
Besides that, gold is a notable gainer as well as the commodity benefits from concerns about the global economy as well as renewed focus on central bank easing around the world. The latest from overnight trading is the BOE after Carney made remarks suggesting that the central bank is a bit worried about recent global developments.
Looking ahead, the focus remains on risk and we'll see if there will be any surprises from euro area data to warrant further concerns. Otherwise, just be on the look out for trade headlines as the focus slowly starts turning towards the US non-farm payrolls release on Friday.
