Forex News Dollar Pressured after Bond Yields Fall Dollar Pressured after Bond Yields Fall Friday, 8 June 2018 10:19 Share 0 Tweet 0 Pin it 0 +1 In early Asian trading, the US Dollar Index remained close to a 3-week trough after yields on US Treasury instruments fell sharply. The common currency Euro, meanwhile, continues to recover amid speculation that the ECB will begin reining in its quantitative easing program at its next policy meeting which takes place on June 14th. Waning concerns over the geopolitical situation in Italy have also helped to provide a lift to the Euro. The Euro is poised to record its largest weekly gain in four months. As reported at 10:17 am (JST) in Tokyo, the EUR/USD was trading at $1.18, up 0.07% and off the earlier high of $1.18103 while the low is at $1.17917. The EUR/JPY is trading at 129.659 Yen, a gain of 0.17%; the pair has ranged from 129.2870 Yen to 129.7320 Yen. Contentious G7 Looms While Italy may no longer be a primary concern for markets, the upcoming weekend and week could set the stage for more uncertainty. First is the G7 meeting which begins today in Canada and which will continue into the weekend. It is expected to be highly contentious, especially given the recent escalation of a trade war by the Trump administration against Canada and Mexico. That will be followed by the summit between the US and North Korea with the US government expected to demand that North Korea halt the nuclear weapons program. Then, on Wednesday, markets will await the Federal Reserve policy decision with hope of news of another rate hike. Barbara Zigah Barbara Zigah is a freelance journalist living in Ghana, who specializes in Forex-related content; her online work has appeared in the IB Times, NASDAQ, Benzinga, and Seeking Alpha.