Dollar on Back Foot as Risk Sentiment Improves

The dollar retreated in Asian trading Friday as risk appetite improved in the region following strong gains on Wall Street overnight. The yen fluctuated between gains and losses.

USD/JPY was little changed at 147.18, paring an earlier 0.4% advance; the pair has been whipsawed this week, falling as low as 141.70 as yen-carry positions were unwound amid a jump in volatility.

The Bloomberg Dollar Spot Index fell 0.1%, extending Thursday 0.2% drop as jobless claims data alleviated jitters about recession. Yield on 10-year Treasuries fell 2bps to 3.97%.

AUD/USD edged 0.1% higher to 0.6596.

EUR/USD little changed at 1.0922.

Source : Bloomberg