ENERGY: US Rig Count Up 2 to 550: Baker Hughes

• US TSY 5Y NOTE AUCTION: HIGH YLD 3.710%; ALLOTMENT 41.92%
• US TSY 5Y NOTE AUCTION: DEALERS TAKE 11.94% OF COMPETITIVES
• US TSY 5Y NOTE AUCTION: DIRECTS TAKE 28.64% OF COMPETITIVES
• US TSY 5Y NOTE AUCTION: INDIRECTS TAKE 59.42% OF COMPETITIVES
• US TSY 5Y AUCTION: BID/CVR 2.34

• Across the session, the greenback has been steadily appreciating, resulting in the USD index rising above last week’s post-Fed recovery highs. The next level for the DXY resides at the 50-day EMA, intersecting today just below the 98.00 mark. Despite a fleeting surge above this average in late July, daily closes above have been rare since February this year. A more lasting break could signal scope for a stronger dollar correction to the topside.
• Bar the outperforming Aussie following higher-than-expected CPI data, losses across the G10 have been broad based, with both the Japanese yen and New Zealand dollar underperforming.
• USDJPY (+0.75%) picked up some momentum above 148.38 resistance earlier today, and spot has narrowed the gap to 149.14, the Sep 3 high. Meanwhile, GBPUSD has pierced S-T trendline support, strengthening a bearish threat.
• One chart level that particularly stands out is NZDUSD (-0.80%), as the pair approaches the key 0.5800 pivot support, which coincides with the 50% retracement of the year’s range. Price action has been exacerbated by the break of a short-term trendline and should we break the figure, 0.5728 and 0.5636 would be the most obvious targets for a deeper selloff. Today's dynamic have propelled AUDNZD to another fresh cycle high of 1.1341, extending the cross' impressive rally in recent months.
• USDCHF is up around half a percent as we approach tomorrow’s SNB decision. Analysts expect a hold at 0.00% as most likely, with a cut into negative territory appearing improbable.
• In terms of data, the third read of US GDP will cross, as well as weekly jobless claims. Durable goods and existing home sales data are also scheduled.

The 5Y WI drifting around 3.706% to 3.707%, 2.3-2.2bp rich to last month's tail: 3.724% high yield vs. 3.716% WI.