The dollar is holding firmer on the day with USD/JPY looking to seal a breakout above 120.00, trading to fresh highs in over six years currently.
The mood is largely spurred on by the bond market, as Treasuries saw a historic rout after Fed chair Powell opened the door for a quicker pace of rate hikes. Adding to that is the further flattening of the yield curve, which is prompting uncertainty surrounding the economic outlook in the months ahead.
But the Fed has made clear that their main goal now is inflation, so we'll see how they decide to find a balance there.
Looking ahead, there is little on the agenda to distract from the general risk mood and bond market focus.
0900 GMT - Eurozone January current account balance
1000 GMT - Eurozone January construction output
1100 GMT - UK March CBI trends total orders, selling prices
That's all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.
