XE Market Analysis: Asia – Jan 28, 2021

The abrupt flip to risk-on on Thursday from risk-off on Wednesday saw the USD reverse some of the gains posted yesterday. The DXY eased back to 90.42 from overnight highs of 90.86 through the morning session. Incoming U.S. data was supportive of risk taking levels, with Q4 GDP rising close to expectations, and jobless claims falling more than expected. New home sales rose, while leading indicators were positive, but light of expectations. Wall Street was up sharply, scratching back a big chunk of Wednesday’s steep losses, while Treasury yields moved higher as well. Friday’s U.S.