Market wrap: dollar above one-month low - Westpac

Analysts at Westpac offered a market wrap.

Key Quotes:

Global market sentiment: Markets partly reversed Friday’s moves, leaving the US dollar index just above a one-month low. Oil fell further on supply concerns, WTI down 3.9% to a three-month low.

Interest rates: US 10yr treasury yields staged a minor rebound, from 1.47% to 1.51%, the 2yr ranging between 0.66% and 0.69%. Market pricing of the Fed funds rate was little changed, implying a 20% chance of a rate hike in September, a 40% chance by December, and 100% not until Jul 2018.

Currencies:  The US dollar index’s week-old slump stalled. EUR ranged sideways between 1.1155 and 1.1180. USD/JPY also eked a narrow range, between 102.12 and 102.61. AUD slipped from 0.7615 to 0.7551, NZD from 0.7230 to 0.7171. AUD/NZD fell from 1.0555 to 1.0511 – a three-week low.