2018.04.1902:46:00UTC+00Dollar Buoyed as U.S. Yields Moves Near 1-Month Peaks

The dollar was stable versus a basket of its peers on Thursday, buoyed by higher long-term U.S. Treasury yields on improving appetite for risk assets, though persisting concerns over U.S.-China trade tensions limited the greenback's gains.

The dollar index against a basket of six major currencies was flat at 89.633 after rising 0.1 percent on Wednesday.

The greenback added 0.15 percent to 107.410 yen, adding to the previous day's modest gains.

The dollar's gains were limited given the scope of the rise by the 10-year Treasury note yield, which increased over 5 basis points overnight for its biggest one-day surge since March 2.

The euro had fallen to a 14-year low the last time the yield spread was at the current width. However, it has been relatively immune to the current yield spread widening. The spread has increased more than 30 basis points over the past three months but the common currency has moved within a relatively narrow $1.2556-$1.2154 range.

The common currency inched up 0.07 percent to $1.2383 after eking out small gains the previous day.

The Canadian dollar was another big mover, having slid 0.6 percent against the dollar after the Bank of Canada did not sound as hawkish as some had expected.

The loonie was slightly weaker at C$1.2637 per dollar, retreating from a seven-week high of C$1.2528 reached before the BoC meeting.