Ella 
The U.S. dollar index, which measures the dollar’s value against six major currencies, ended flat at 103.97 (103.95).
The latest FOMC meeting minutes showed that the Fed is worried about cutting interest rates too quickly. The U.S. economic data released yesterday was mixed.
U.S. existing home sales climbed to 4 million from 3.88 million previously. However, the latest U.S. services index fell to 51.3, lower than economists’ expectations of 52.4.
USD/JPY maintained buying orders above 150 and closed at 150.55 (150.35 yesterday). USD/JPY hit an overnight high of 150.01 in choppy trading.
The New Zealand dollar, often regarded as a “flightless bird” by traders, performed better than similar currencies, closing up 0.3% to 0.6200 from yesterday’s 0.6165. Earlier this week, Reserve Bank of New Zealand Governor Adrian Orr acknowledged the risks of overtightening.
AUD/USD rose to 0.6553 from 0.6533 yesterday. In choppy trading overnight, the Australian dollar surged to a high of 0.6595 before retreating.
The dollar was mixed against Asian and emerging market currencies. USD/CNH rose to 7.2027 (7.2000). USD/SGD fell from 1.3440 to 1.3430.
Global bond yields were muted, with the benchmark 10-year yield rising 2 basis points to 4.32% (4.30%). Rival Treasury yields were essentially flat. The UK 10-year government bond yield ended flat at 4.10%. The German 10-year government bond yield fell to 2.44% from 2.45%.
U.S. stocks closed slightly higher. The Dow rose to 38,627 (38,597), while the S&P 500 closed at 5,083, up from 5023 yesterday. Australia’s ASX 200 rose to 7,647 (7,617).
Other data released yesterday showed that the preliminary value of the Eurozone Manufacturing Purchasing Managers Index (Flash Manufacturing PMI) fell from 46.6 to 46.1 in February, lower than the expected 47. However, the preliminary value of the Eurozone Services Purchasing Managers Index rose to 50 from the previous value of 48.4.
The UK Manufacturing Purchasing Managers’ Index (PMI) fell to 46.1 from 47 previously, below expectations of 47.5. The UK Services Purchasing Managers’ Index rose to 50 from 48.4, above expectations of 48.8.
USD/JPY – In another roller-coaster trading session, USD/JPY surged from an opening of 150.35 to a high of 150.69. The overnight low was 150.01. The yen remained weak against other global currencies. AUD/JPY climbed to 98.67 (from 98.42 yesterday).
AUD/USD – The AUD/USD pair held firm, briefly jumping to an overnight high of 0.6595 before slipping back to 0.6553 in late New York trade. The overnight low was 0.6540. RBA Governor Michelle Bullock recently said the RBA remains open to further interest rate increases if inflation persists.
NZD/USD – The New Zealand dollar gained momentum, climbing to 0.6200 from 0.6165 yesterday. In choppy trading, the New Zealand dollar, dubbed the “flightless bird” by currency traders, fell to an overnight low of 0.6175 before recovering. The overnight high was 0.6218.
EUR/USD – EUR/USD gave up some of its gains to settle at 1.0817, little changed from yesterday’s close of 1.0820. In choppy overnight trading, the euro surged to a high of $1.0888, its highest level this month, before falling to the New York close.
