Market wrap: US dollar takes top spot - Westpac

Analysts at Westpac offered a market wrap.

Key Quotes:

"Global market sentiment: The US dollar and US interest rates rose, helped by buoyant economic data. In turn, both the risk-averse JPY and pro-risk NZD performed poorly.

Interest rates: US 10yr treasury yields rose sharply from 1.72% to 1.77%, most of the rise coinciding with the release of the strong manufacturing PMI report. The 2yr yield rose from 0.82% to 0.84%.

Among the Fedspeak, Dudley spoke about the treasury market, Bullard repeated his expectation of only one more rate hike, and Evans thought inflation was too low.

Currencies:  The US dollar index is currently trading at a nine-month high. EUR fluctuated near an eight-month low, between 1.0860 and 1.0900. USD/JPY rose from 103.75 to 104.32. AUD made a round trip from 0.7595 to 0.7641 and back. Underperformer NZD fell from 0.7175 to 0.7125. AUD/NZD rose from 1.0630 to 1.0670."