The dollar has continued on a softening track, concomitantly with the sharp drop in Treasury yields. This drove EUR-USD to a four-week high of 1.1935 and USD-JPY to a six-session low of 112.66. The dollar has also posted two-week lows versus the pound and two-month lows against both the Australian and Canadian dollars. All of this is happening in thin markets, and despite a run of mostly upbeat U.S. economic data releases over the last week or so, in addition to the passing of the tax overhaul bill, which heralds looser fiscal policy in the U.S.
[EUR, USD]