• Gold float at $1907
  • US 10-year yields up 13 bps to 3.84%
  • WTI crude oil up 27-cents to $69.82
  • S&P 500 up 0.4%
  • AUD leads, EUR lags

The drumbeat of strong US economic data continued on Thursday with a drop in initial jobless claims and a substantial surprise to Q1 GDP on trade data revisions. The dollar jumped across the board on the numbers as yields rose to within striking distance of cycle highs.

USD/JPY led the way once again hitting 144.90 before stalling near the highs. That was a 60-pip rise from pre-data levels.

The euro also gave back all the German CPI-related gains from early in Europe in something of a sell-the-fact trade as the market begins to fret about a stagflationary scenario. The pair sank 80 pips in a straight line to 1.0860.

Cable fell by a similar amount as the GBP-volatility continues. It levelled out at 1.2610 in quieter late-day trading ahead of quarter end tomorrow.

Commodity currencies were able to lean against the strong US dollar as commodity/value trades did well throughout markets. AUD was particularly strong after today's retail sales data while USD/CAD touched 1.3285 early only to fall back to 1.3250 and touch a session low late.

FX news wrap