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European stocks run out of steam after ECB; energy shares weigh
Published at 21/01/2021 at 17:22 -
Energy stocks drag down FTSE 100, IG Group slides
Published at 21/01/2021 at 17:05 -
London stocks rise on swift economic recovery, U.S. stimulus optimism
Published at 21/01/2021 at 08:19 -
European shares extend gains on U.S. stimulus hope
Published at 21/01/2021 at 08:19 -
UK Stocks-Factors to watch on Jan 21
Published at 21/01/2021 at 07:54 -
UK Stocks-Factors to watch on Jan 21
Published at 21/01/2021 at 06:29 -
Wall St bounce, upbeat earnings lift European stocks
Published at 20/01/2021 at 17:24 -
Miners lead FTSE 100 higher on earnings cheer
Published at 20/01/2021 at 17:06 -
Luxury stocks, ASML lift European shares in early trading
Published at 20/01/2021 at 08:32 -
UK stocks edge higher as miners, Burberry shine
Published at 20/01/2021 at 08:18
Forex News
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FOREX-Dollar slides for third day on U.S. data, stimulus expectations
Published at 21/01/2021 at 20:55 -
FOREX-Dollar retreats for third day on U.S. data, stimulus hopes
Published at 21/01/2021 at 19:16 -
Bitcoin slumps 10% as pullback from record high gathers pace
Published at 21/01/2021 at 18:59 -
FOREX-Dollar drops for third day on U.S. stimulus optimism
Published at 21/01/2021 at 16:08 -
FOREX-Euro clings to gains as ECB sticks to policy, dollar dips
Published at 21/01/2021 at 13:13 -
Bitcoin slumps 10% as pullback from record continues
Published at 21/01/2021 at 10:24 -
FOREX-Euro gains before ECB meeting; Biden stimulus weighs on dollar
Published at 21/01/2021 at 09:23 -
FOREX-Dollar on back foot as Biden optimism bolsters riskier currencies
Published at 21/01/2021 at 06:09 -
FOREX-Dollar on back foot as Biden optimism bolsters riskier currencies
Published at 21/01/2021 at 01:47 -
FOREX-Dollar slides vs most currencies on optimism about Biden administration
Published at 20/01/2021 at 20:15
Market News
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Oil steadies after unexpected build in U.S. crude stockpiles
Published at 21/01/2021 at 20:06 -
PRECIOUS-Gold slips on profit taking; stimulus bets limit losses
Published at 21/01/2021 at 19:11 -
PRECIOUS-Gold steadies near 2-week high on dollar retreat
Published at 21/01/2021 at 12:31 -
PRECIOUS-Gold hits 2-week high as U.S. stimulus hopes pressure dollar
Published at 21/01/2021 at 07:24 -
Oil slips on surprise rise in U.S. crude stocks
Published at 21/01/2021 at 02:20 -
PRECIOUS-Gold off 2-week high as investors book profits
Published at 21/01/2021 at 01:43 -
Oil rises on U.S. stimulus hopes, tighter market under Biden
Published at 20/01/2021 at 22:41 -
PRECIOUS-Gold gains over 1% as focus turns to Biden administration
Published at 20/01/2021 at 19:16 -
PRECIOUS-Gold rises as dollar dips on Yellen's call for bold stimulus action
Published at 20/01/2021 at 12:53 -
PRECIOUS-Gold gains as dollar weakens on U.S. stimulus outlook
Published at 20/01/2021 at 07:35
FOREX-Dollar buoyed as Treasury yields stabilise
Published at
13/01/2021 at 09:20
* Dollar index trades higher
* Sterling gains
* Euro, Aussie and Kiwi down
* Graphic: World FX rates
By Ritvik Carvalho
LONDON, Jan 13 (Reuters) - Stabilising U.S. Treasury yields helped the dollar trade back in positive teritory on Wednesday, though investors remained bearish on the currency's near-term prospects.
Benchmark 10-year Treasury yields fell more than 6 basis points from a 10-month high hit on Tuesday, briefly snuffing out a three-day winning streak for the dollar. They last traded 2 basis points lower at 1.12%, helping the currency trade 0.1% higher against its peers.
The euro, having earlier made its sharpest daily gain against the greenback, lost ground to trade 0.15% lower on the day at $1.2189 .
Sterling bucked the trend and strengthened against the dollar to $1.37, having been boosted the previous day by the Bank of England governor talking down the prospect of negative interest rates.
The Australian and New Zealand dollars fell 0.3% and 0.4% respectively, with the Aussie hitting $0.7745 and the kiwi at $0.7195.
The pullback in yields pushed the dollar below 104 Japanese yen to trade at 103.79 yen.
Investors maintained their bearish stance on the greenback.
"We continue to think the greenback's downtrend should remain intact as long as global recovery prospects stay intact," said Mark Haefele, chief investment officer at UBS Global Wealth Management in London.
The dollar index was 0.1% higher at 90.14 after falling 0.5% on Tuesday and is not far above last week's close to three-year low of 89.206.
"We think that there are really two main reasons for that (dollar not weakening now)," said Calvin Tse, North America Head of G10 FX at CitiFX.
"U.S. yields, especially at the back end, have not only moved higher, they've shot higher. With U.S, yields shooting higher, it really does two things: 1) it encourages more inflow into the U.S. buying U.S. rate products and 2) very sharply moving yield levels tend to not be good for high beta EM FX."
The bond-market sell-off that has driven U.S. yields sharply higher this year and stalled the dollar's decline was triggered by Democrats winning control of U.S. Congress at elections in Georgia last week.
Investors expect that result to usher in huge sums in government borrowing to fund big-spending stimulus plans and have figured that higher U.S. rates might make the dollar more attractive.
Mixed signals from some U.S. Federal Reserve members on how much longer policy can stay so accommodative also dragged on Treasuries.
However, strong demand at a $38 billion 10-year auction overnight and remarks from Boston Fed President Eric Rosengren and Kansas City Fed President Esther George have allayed some of those concerns ahead of a busy schedule of Fed speakers.
December U.S. inflation figures are also due at 1330 GMT, with expectations for annual core CPI to hold steady at 1.6%.
Later on Wednesday Reserve Bank of St. Louis President James Bullard is due to participate in a discussion on monetary policy at a Reuters Next Virtual Forum at 1430 GMT.
Federal Reserve Board Governor Lael Brainard and Vice Chair Richard Clarida are also due to speak on Wednesday and the Fed issues its "Beige Book" of economic indicators at 1900 GMT. Fed Chair Jerome Powell is due to speak on Thursday.
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(Reporting by Ritvik Carvalho Additional reporting by Tom Westbrook in SINGAPORE Editing by David Goodman )
((Ritvik.Carvalho@thomsonreuters.com; +44 2075429406; Reuters Messaging: ritvik.carvalho.thomsonreuters@reuters.net))