[MARKET ANALYSIS] Dollar marginally softens as oil pulls back

DXY: -0.1%

• Marginally softened after gaining yesterday alongside upside in oil prices and geopolitical uncertainty after the mixed signals from the US after President Trump suggested the US is in serious discussions to end the military operation in Iran, but also threatened to "obliterate" Iran's power plants and oil wells if a deal is not reached "shortly". Nonetheless, the mixed headlines persisted as strikes continued overnight, while it was also reported that Trump told aides he is willing to end the war without opening Hormuz.

EUR/USD: +0.1%

• Clawed back some of the prior day's losses after slipping beneath the 1.1500 handle, but with a further rebound contained ahead of Eurozone inflation data.

GBP/USD: +0.2%

• Found some reprieve from recent selling and returned to the 1.3200 territory, while the attention turns to incoming data including the final Q4 GDP reading for the UK.

USD/JPY: -0.1%

• Traded choppy amid the ultimately mixed bag of data releases from Japan and overnight fluctuations in oil.

Antipodeans: AUD/USD +0.1% / NZD/USD +0.1%

• Price action is rangebound amid the mixed risk appetite and after failing to benefit from the stronger-than-expected Chinese official PMI data.