ForexLive European FX news wrap: Dollar steadies on tentative markets

<p>Headlines:</p><ul><li><a href="https://www.forexlive.com/news/dollar-trades-back-to-little-changed-as-markets-remain-tentative-20240206/">Dollar trades back to little changed as markets remain tentative</a></li><li><a href="https://www.forexlive.com/news/heads-up-fedspeak-one-to-watch-in-the-session-ahead-20240206/">Heads up: Fedspeak one to watch in the session ahead</a></li><li><a href="https://www.forexlive.com/centralbank/ecbs-de-cos-says-confident-that-inflation-is-moving-back-to-target-20240206/">ECB's de Cos says confident that inflation is moving back to target</a></li><li><a href="https://www.forexlive.com/news/eurozone-december-retail-sales-11-vs-10-mm-expected-20240206/">Eurozone December retail sales -1.1% vs -1.0% m/m expected</a></li><li><a href="https://www.forexlive.com/news/germany-december-industrial-orders-89-vs-00-mm-expected-20240206/">Germany December industrial orders +8.9% vs 0.0% m/m expected</a></li><li><a href="https://www.forexlive.com/news/germany-january-construction-pmi-363-vs-370-prior-20240206/">Germany January construction PMI 36.3 vs 37.0 prior</a></li><li><a href="https://www.forexlive.com/news/uk-january-construction-pmi-488-vs-473-expected-20240206/">UK January construction PMI 48.8 vs 47.3 expected</a></li></ul><p>Markets:</p><ul><li>AUD leads, CHF lags on the day</li><li>European equities mixed; S&amp;P 500 futures down 0.1%</li><li>US 10-year yields flat at 4.167%</li><li>Gold flat at $2,025.04</li><li>WTI crude up 0.7% to $73.29</li><li>Bitcoin up 1.0% to $42,771</li></ul><p>It was a slow session as traders are adopting more of a tentative mood so far today.</p><p>The dollar is trading little changed after a slight nudge lower, as Treasury yields rebounded off earlier lows as well. 10-year yields were down to around 4.12% early in Europe but are now back up to near 4.17%. And that is also helping to underpin the dollar slightly.</p><p>USD/JPY was down to around 148.40 earlier but is now trading back up to 148.75 on the day. EUR/USD is down 0.2% to 1.0725 as the downside shove continues to start this week. AUD/USD was up earlier to around 0.6520 after a more hawkish hold by the RBA, as well as a rebound in Chinese markets, but is now down to around 0.6488.</p><p>In other markets, stocks were more tepid with US futures down slightly now and that is keeping any enthusiasm in Europe more contained as well. As yields move back to near flat levels, that isn't leaving much for gold traders to work with as the precious metal is also near unchanged levels on the day after the declines on Friday and yesterday.</p>

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