The US dollar is exhibiting mixed performance against both G10 and emerging market currencies today. The euro remains relatively stable, maintaining the gains it achieved last week following the unexpected French election results. Despite robust underlying wage data in Japan, the yen has relinquished its initial gains, allowing the dollar to climb back above JPY161 in European morning trading. Meanwhile, gold, which approached $2400 before the weekend, has declined by about $20, trading near $2370 with support anticipated around $2350.

Asia Pacific Markets
In Japan, an increase in labor cash earnings was tempered by lower bonus payments, although base salaries rose by 2.5%, marking the most significant increase since 1993. The dollar hit last week's low against the yen near JPY160.35 just before the weekend and has slightly extended these losses to about JPY160.25 today. The 1.5-yen retreat from the mid-week multi-decade high near JPY162 coincided with a 20 basis point decline in the US 10-year yield.
The Australian dollar extended its gains for the fourth consecutive session, surpassing $0.6750 for the first time in six months and reaching $0.6760 today before pulling back to $0.6730.

European Markets
With virtually no expectation of an ECB move at next week's meeting and a light economic calendar this week, European politics are likely to remain investors' primary focus. The euro, which had been trading within a $1.0665-$1.0750 range during the second half of June, broke higher last week. Today, it initially tested $1.18 but recovered to slightly above $1.0840. Sterling performed well over the week, rising nearly 1.25% to lead G10 currency movements against the dollar.

American Markets
In the US, the economic backdrop shows a gradually slowing labor market, mirroring the broader economic deceleration. This week's focus shifts to price indices, with the Consumer Price Index (CPI) and Producer Price Index (PPI) due in the latter half of the week, alongside Fed Chair Powell's testimony before Congress on Tuesday and Wednesday.
Following a disappointing jobs report, the Canadian dollar was the only G10 currency to weaken against the greenback before the weekend.