FX Daily: Risk assets rally, central banks in focus
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https://think.ing.com/articles/fx-daily-risk-assets-rally-central-banks-in-focus/
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FX Daily: More bond fuel for the dollar rally
The desk posits that the dollar rally is poised to gain further momentum fueled by recent bond market dynamics. Per the full note from ING Economics, the widening yield differentials in the U.S. are becoming increasingly supportive of the dollar, particularly as the path of monetary policy appears to favor further interest rate increases. This narrative is reinforced by the recent high for U.S. 10-year yields, which are now trending above 4.5%, showing a considerable premium over European and Japanese counterparts.