Dollar remains somewhat soft in the Asian trading session, though it hasn't seen any follow-through selling. Hawkish FOMC minutes have partially offset the impact of consumer inflation data on the currency. The broader financial markets also lack a clear direction, as US stock indexes closed lower after initial rally. Benchmark treasury yields mostly reversed their initial losses, while gold remains above 2000 level but struggles to break through recent high. Market participants will look for further guidance from upcoming data to adjust their expectations of Fed rate path, as Fed fund futures continue to suggest a near 70% chance of another 25 basis point hike in May.
Dollar's decline continues in early trading, fueled by weaker-than-expected upstream inflation and job data, pushing the greenback to its lowest level against Euro this year. The Swiss Franc emerges as today's biggest winner, bolstered by falling benchmark yields in Germany and the UK. Meanwhile, Euro benefits from hawkish remarks by ECB officials, while Australian dollar remains strong thanks to robust employment data.