USD, AUD, JPY, CHF flows: US data maintains positive risk sentiment

US data generally on the strong side of consensus, with lower jobless claims and higher core durable goods orders than expected. US yields are modestly higher and the USD is also up against everything but the AUD and CAD, with the JPY and CHF falling the most as the data feeds the risk positive theme. We do think the gains in the risky currency pairs are getting overdone see “JPY weakness getting stretched”, but this data offers no trigger for a risk negative turn, so while we may pause, it’s unlikely we will see a significant decline in the risk positive trades.