Dollar firms after surge in U.S. yield, yen continues fall
The dollar held gains made on Thursday after bouncing from three-year lows overnight following a surge in U.S. bond yields.
The yen dropped to a new six-month low against the dollar. The Aussie and the Canadian dollars dropped from three-year highs.
The 10-year Treasury yield rose above 1.6% overnight for the first time in a year following a weak response to an auction of $62 billion of 7-year notes.
The dollar index rose up to 90.381, retaining a 0.2% gain from Thursday. It bounced from losses as much as 0.26% before the bond tender.
The dollar steadied at 106.2 against the yen after earlier hitting 106.43, its strongest since September.
The Aussie declined 0.2% to 0.78525, while the Canadian dollar dropped to C$1.2613 after dropping from its three-year peak against the dollar overnight.
The euro fell 0.1% to $1.2158 after hitting a seven-week high of $1.22435 on Thursday.