USD – The dollar gained slightly on Monday as Treasury yields rose on expectations the Federal Reserve will need to hike interest rates sooner than previously expected to quell rising price pressures.
GBP – Sterling steadied near a 20-month high versus the euro on Monday after BoE Governor Bailey said that the central bank would have to act on the risk of medium-term inflation, signaling that the central bank is gearing up to raise interest rates as inflation risks mount.
NZD – The New Zealand dollar rose on Monday, as inflation jumped above expectations to a decade high, putting pressure on the central bank to accelerate its rate rising cycle, which sent bond yields surging.
Indeed, JP Morgan notes that “We have expected the RBNZ to hike at the next two meetings and this result will keep them on track for that.”