Is Trump Policy Guess Work Making Markets Jumpy?
The dollar headed for its biggest decline against the yen in two months as a retreat in Treasury yields sapped demand for the U.S. currency. The greenback slid after capping its biggest three-week rally versus its Japanese peer since 1995, as a technical indicator called the relative strength index signaled it had risen too fast. Treasury yields declined before a U.S. jobs report Friday, with futures signaling traders see three quarter-point interest-rate increases by the end of next year. The 10-year benchmark yield had surged as much as 70 basis points since Donald Trump’s election, amid speculation the president-elect will pursue reflationary policies. Jefferies International Chief European Economist David Owen discusses with Anna Edwards and Yousef Gamal El-Din on "Bloomberg Daybreak: Europe." (Source: Bloomberg)