US dollar falls further as gold nears $5000

The US dollar is coming under some broad pressure ahead of the weekend, particularly in USD/JPY.

There could be fears of intervention in the thin liquidity at the open on Sunday or it could reflect the record highs in precious metals and increasing talk of de-dollarization. Another curious move today is the rally in oil markets, which might suggest that something is afoot via the US military over the weekend. Given the drama since the start of the year, I wouldn't rule that out.

In any case, these moves are notable and USD/JPY is having a look at the post-BOJ lows.

It's certainly not only the yen though as cable is at the best levels in 14 weeks and is further pressing higher. From Monday's low, it's up 230 pips and has been lifted by hawkish comments from Greene, along with stronger retail sales and PMI beats.

The week ahead is also a big one as Trump is likely to name a new Fed chief. There are risks around US equity flows as well with all the megacap tech names reporting earnings.