The FOMC minutes released Wednesday during the US afternoon helped lift US stocks and sapped a little strength from the USD.

Regional equities here in Asia though didn’t get much follow through, a mixed performance while the FX front it was also mixed.

USD/JPY drifted away a little early on but did pop back, above 127.50 briefly. EUR, GBP, AUD, NZD, CAD all gained against the dollar in the morning (yen crosses were notably bid) but all have given it back to greater or lesser extents.

On the central bank front we had Reserve Bank of New Zealand testimony in parliament. RBNZ Governor Orr carried on his net hawkish message from yesterday.

In data we had Australian capex for Q1, a disappointing headline but bright spots in the data on equipment and machinery spending and also for private capital expenditure ahead (estimate 2 for the 2022-23 spend is up from estimate 1 by over 11%).

DXY 10 minute candles:

dxy 26 May 2022