Of note, USD/JPY is pushing to its highest levels in over a week as price touches 103.70 upon a break of its 200-hour moving average @ 103.26 earlier in the day.
That puts buyers back in near-term control and the break above the highs yesterday of 103.40-44 is now extending further on the session.
Elsewhere, the greenback is also seeing some modest strengthening across the board as it trades to fresh highs against the major currencies bloc as well.
EUR/USD has now been pushed to 1.2245 and moving below both its key hourly moving averages on the session. That puts sellers back in near-term control:
Meanwhile, AUD/USD is also falling to a fresh session low of 0.7735 and is now meeting a test of its 100-hour moving average:
Despite the push higher in yields yesterday, the dollar didn't quite respond all too much. So, is this perhaps a delayed reaction to the breakout in 10-year Treasury yields above 1%?
It is tough to say but whatever the case is, the big picture narrative remains mostly unchanged in the dollar. That is as long as the Fed keeps policy as it is, there is no reason to suggest things will change in the dollar trend.
Sure, there might be scope for a strong and deep pullback - which we may be starting to see here - but I would argue that any dollar strength is one to sell into for the long haul.
For now, the dollar is starting to move to test some key near-term levels - similar cases also observed in GBP/USD, USD/CHF, USD/CAD as the key hourly moving averages are in focus - but we'll see how much appetite dollar buyers have in pushing the agenda.