Yield Spike Threatens Dollar as USD/CAD and EUR/USD Face Key Tests

The U.S. 10-year yield continues to exert influence on currency markets, keeping risk appetite vulnerable and the dollar sensitive to any renewed spike in yields.

USD/CAD is testing its support around the 200-day EMA, which lies within the 50%-61.8% Fibonacci retracement zone. A break higher could put pressure on USD/CAD, potentially sending it towards the 1.3950 level.

EUR/USD, on the other hand, is facing supply in the range of 1.16-1.1650, which could cap any potential gains.

Platinum's well-defined range suggests a tactical bullish bounce from support may be underway.