Dollar climbs as risk appetite ebbs
Risk appetite is ebbing once again as traders pare exposures ahead of Friday’s US consumer-price release. The dollar is climbing against all of its major peers—putting it on course for a third consecutive daily advance—benchmark ten-year Treasury yields are drifting lower as an ongoing slide in oil prices dampens inflation expectations, and futures are pointing to a softer open for US equities. In currency markets, the euro and yen are enjoying a brief reprieve as political clouds clear. In Europe, Friday’s downgrade of France’s credit rating has barely widened bond spreads—evidence that institutional investors had largely anticipated the move and...