The overnight rise in US yields has combined with pre-ECB and pre-payrolls positioning to give the dollar support. EURUSD dipped to 1.3759, USDJPY rose to 104.0, and AUDUSD eased to 0.9220. USDCNY fixed 27pips higher. Onshore flow was modest, but the tone of the market was dollar-bid despite the PBoC seemingly being absent the market. All EM Asia currencies have weakened, except for the TWD. The MYR and PHP underperformed, falling 0.3% against the dollar. USDKRW opened higher, testing 1059.50, but has retraced to 1057.43.
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Credit Suisse