Dollar Finds Support in Bond Market Despite Renewed Trade Tensions

The US dollar is finding support from the bond market as long-dated yields stabilize. According to ING's Francesco Pesole, this stability has allowed the greenback to consolidate its position.

Pesole notes that renewed US-China trade frictions could hurt the dollar, mirroring last year's correlation with the issue.

The balance of risks for the dollar remains skewed to the downside, but ING expects further consolidation into the Jackson Hole risk event later this week.