[MARKET ANALYSIS] DXY is little changed amid a lack of fresh drivers and following the US holiday closure

DXY: Flat

• Trades little changed in the absence of any fresh macro catalysts and following the holiday closure stateside, while participants look ahead to weekly ADP Employment and NY Fed Manufacturing data, as well as the latest Fed commentary from Barr and Daly.

EUR/USD: -0.1%

• Marginally trickled lower but with price action kept to within tight parameters near the 1.1850 level amid light newsflow from the bloc and the recent mixed EU Industrial Production data.

GBP/USD: -0.1%

• Price action is lacklustre after UK PM Starmer flip-flopped again, whereby his government abandons plans to delay 30 council elections following legal advice, while polling suggested that Labour majorities on 10 councils are set to be wiped out now that the cancelled elections are to take place.

USD/JPY: -0.2%

• Pulled back with pressure seen as risk sentiment in Japan deteriorated shortly after the open, while there were some recent comments from former BoJ board member Adachi, who sees a likelihood that the BoJ will hike rates by 25bps in April.

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

• Slightly softened in rangebound trade amid the mixed risk appetite and with little reaction seen to the release of the RBA Minutes from the February meeting which noted that members agreed that prevailing uncertainties meant it was not possible to have a high degree of confidence in any particular path for the cash rate and the Board concluded inflation would stay stubbornly high if it had not hiked interest rates as it did this month.