Forex news for North American trading on February 10, 2021.
In other markerts:
- spot gold is trading up $4.29 or 0.23% at $1842.61
- spot silver is down $0.25 or -0.91% $27.01
- WTI crude oil futures are down $0.01 or 0.02% of $58.35
- Bitcoin is trading down $2400 or -5.1% at $44,900.
Today, the main events in the North American session were focused around US CPI and comments from Fed chair Powell is speaking at the New York economic club. Both were tame.
CPI came in 0.1% lower on the headline and the core measures which is not a lot, but for a market that is suddenly concerned about inflation (despite comments from Fed officials that view inflation as transitory), it was a relief.
The Fed chair speaking at the New York economic club, was the other key event for the day. Like the CPI, his comments were tame as well (i.e. dovish). There is a long way to go until the economy returns to full employment and with inflation subdued, and with the Fed willing to let it run hot, stimulus will remain.
The news helped to send yields lower today with the 30 year down nearly 4 basis points to 1.908%. The 10 year yield is also lower by 3.4 basis points. Below are the ranges and changes for the yield curve today.
In the stock market, the Dow industrial average was the only major index to close higher today. The NASDAQ fell by -0.25%. The Russell index was the worst performer -0.72%. Profit takers enter the market shortly after the opening sending stocks lower. Although there was a rebound into the early New York afternoon, gains were later erased. The market seems poised for some consolidation/correction. In the European markets today, the major indices closed lower after also giving up earlier gains
In the forex, the price action was relatively modest and up and down. The EURUSD, USDJPY, USDCAD all closed within 10 pips of the close from yesterday. The NZDUSD moved the most with a -30 decline on the day. Overall, the CHF is ending the day as the strongest of the majors, and the NZD is the weakest. Despite the tame inflation and Fed, the USD is ending marginally higher/mixed with most of the gains vs. the AUD (+0.23%) and NZD (0.41%). The dollar was mostly lower vs. the CHF (-0.21%) and GBP (-0.11%). It was near unchanged vs the EUR, JPY and CAD. 
A technical look at some of the pairs going into the new trading day shows: