ForexLive European FX news wrap: Dollar drops as yields dip, reaffirming Tuesday moves

<p>Headlines:</p><ul><li><a href="https://www.forexlive.com/news/usdjpy-slides-below-15000-as-yields-continue-to-fall-20231117/">USD/JPY slides below 150.00 as yields continue to fall</a></li><li><a href="https://www.forexlive.com/news/dollar-extends-declines-further-across-the-board-20231117/">Dollar extends declines further across the board</a></li><li><a href="https://www.forexlive.com/centralbank/ecbs-holzmann-we-stand-ready-to-raise-rates-again-if-necessary-20231117/">ECB's Holzmann: We stand ready to raise rates again if necessary</a></li><li><a href="https://www.forexlive.com/news/uk-october-retail-sales-03-vs-03-mm-expected-20231117/">UK October retail sales -0.3% vs +0.3% m/m expected</a></li><li><a href="https://www.forexlive.com/news/eurozone-october-final-cpi-29-vs-29-yy-prelim-20231117/">Eurozone October final CPI +2.9% vs +2.9% y/y prelim</a></li><li><a href="https://www.forexlive.com/news/eurozone-september-current-account-balance-312-billion-vs-277-billion-prior-20231117/">Eurozone September current account balance €31.2 billion vs €27.7 billion prior</a></li><li><a href="https://www.forexlive.com/news/japan-core-inflation-likely-accelerated-again-last-month-reuters-poll-20231117/">Japan core inflation likely accelerated again last month – Reuters poll</a></li><li><a href="https://www.forexlive.com/news/china-us-agree-to-hold-first-commerce-working-group-meeting-in-q1-2024-20231117/">China, US agree to hold first commerce working group meeting in Q1 2024</a></li><li><a href="https://www.forexlive.com/news/eu-to-ban-sales-to-russia-of-tankers-for-crude-oil-or-petroleum-products-20231117/">EU to ban sales to Russia of tankers for crude oil or petroleum products</a></li></ul><p>Markets:</p><ul><li>JPY leads, USD lags on the day</li><li>European equities higher; S&amp;P 500 futures up 0.2%</li><li>US 10-year yields down 3.1 bps to 4.414%</li><li>Gold up 0.4% to $1,988.94</li><li>WTI crude up 1.3% to $73.82</li><li>Bitcoin up 1.0% to $36,320</li></ul><p>After a bit of a pause in the action following the Tuesday moves, markets look to be following through on that towards the end of the week. It was a case of sell the dollar, buy everything else in European trading today.</p><p>Treasury yields dipped further and that proved to be a drag for the greenback as USD/JPY fell back below 150.00 and that reverberated to other dollar pairs as well during the session.</p><p>The pair fell from 150.60 to 149.25 and is holding just above that, still down 0.9% on the day now. That helped to facilitate a rebound in EUR/USD and GBP/USD, with the former up 0.1% to 1.0860 from around 1.0830 earlier while the latter is up to 1.2430 after being down to 1.2375 after a poor UK retail sales report.</p><p>The commodity currencies are also looking to claw their way back higher after a tepid showing in the last few sessions, with AUD/USD in particular nudging back towards the 0.6500 mark.</p><p>As yields retreat, stocks are also continuing their good form with European indices set to end the week with a flourish and US futures also a touch higher on the day.</p><p>In the commodities space, gold is up and eyeing the $2,000 mark while oil is also up over 1% currently to near $74 as traders are snapping up everything while selling the dollar in return.</p>

This article was written by Justin Low at www.forexlive.com.