US dollar firms as we count down to Biden's stimulus
Dollar modestly stronger
The US dollar is firmer after a weak jobless claims number. The market reaction to that surprising print has been disjointed. Bond yields are falling now on the prospects for more easing, or the Fed running QE for longer.
That's probably an overreaction to one data point that's likely skewed by holidays. Overall, US 10-year yields are up 1.1 bps to 1.096% today after hitting 1.115% earlier.
The dollar firmed as New York traders arrived but only moderately. Some of that was against the loonie as oil prices slid. EUR/USD slid to 1.2110 from 1.2150 but has since stabilized.
The main event today comes today at 7:15 pm ET when Biden reveals his stimulus plan. The NYT reports it will be split into two bills with the first one likely to include $2000 direct payments, aid to state and local governments and boosts to unemployment benefits.
Look to comments from Rosengren at the top of the hour.