ForexLive European FX news wrap: Dollar mixed, gold at one-month high

LONDON (March 1) There wasn't too much action in European trading today, as FX continues to struggle for volatility on the week.

The dollar was little changed overall, keeping steadier despite some back and forth action in the bond market. 10-year Treasury yields rose to 4.28% early on before dipping to a low of 4.22% during the session. That did little to wake up currency traders, although USD/JPY did ease back from 150.60 to 150.30-40 levels.

EUR/USD was subdued around 1.0810-20 levels mostly while GBP/USD is just up slightly from 1.2630 to 1.2645 at the moment. AUD/USD continues to sit near the 0.6500 mark, staying little changed mostly on the day near the figure level.

Instead, it was gold that benefited the most as the precious metal rose from $2,040 to $2,050 levels currently and eyeing a break of key trendline resistance at $2,045 as outlined here.

In the equities space, European stocks are still ripping higher as investors continue the hot run from February. But US futures are more tentative for now, with S&P 500 futures marginally lower ahead of the March open.

In terms of data, we got Eurozone CPI for February and that saw core prices remain more stubborn just above 3%. It still is a minor drop from January, allowing for the ECB to stay on the rate cut path at least. However, it also reaffirms the potential for prices to be stickier and more difficult to return to 2% in the months ahead.

ForexLive