Overnight Markets and News

The dollar index (DXY00 +0.18%) is up +0.23% at a 1-1/2 week high. EUR/USD (^EURUSD -0.28%) is down -0.32% at a 1-1/2 week low. USD/JPY (^USDJPY +0.21%) is up +0.21%.

Jun 10-year T-note prices (ZNM18 +0-005) are little changed, up +0.5 of a tick.

Cleveland Fed President Mester said she doesn't expect inflation to pick up sharply even as unemployment is likely to fall below 4% this year and remain there through 2019. This “argues against a steep path” for interest rates and that “gradual rate hikes will be appropriate this year and next year.”