USD / CAD - Canadian Dollar under pressure from rising bond yields.

- Trump delays another planned attack on Iran- Canada inflation expected to have risen in April- The US dollar catches risk-off bid USDCAD open: 1.3764, Range-Mon/Tues: 1.3733-1.3772, close 1.3740, WTI 102.76, Gold 4,540.69The Canadian dollar slid lower due to ongoing US-Iran tensions and upward pressure on global bond yields drove demand for the greenback. The prospect of renewed US and Iran hostilities is fueling fears of inflation resurgence. That puts central banks in the uncomfortable position of having to consider whether further tightening is warranted.Canada has so far avoided the inflation pressures plaguing other economies, but April CPI figures due today could muddy that picture. Analysts expect the headline rate to accelerate sharply to 3.1% year-over-year, up from 2.4% in March.WTI crude printed between 102.16 and 104.09 before retreating to the low end of the range after Trump indicated an Iranian strike was not imminent. The dip attracted buyers quickly, leaving the pullback looking more like a pause than a reversal.Asian stock markets closed higher with Australia’s ASX 200 gaining 1.17%, Japan’s Topix rising 0.63, and Hong Kong’s Hang Seng up 0.48%.By 7:45 am, Germany’s DAX has risen by 1.27%, the French CAC 40 has climbed 0.74%, and the UK FTSE 100 is up 0.57%. S&P 500 futures have lost 0.34%, the 10-year treasury yields is 4.615% and the DXY index is 99.22.EURUSD traded in a 1.1611-1.1663 range and is just above the low in NY trading. The Paris G-7 Finance Ministers Summit generated little market-moving commentary, with no actionable quotes or policy directives emerging from the gathering.GBPUSD chopped 1.3387 and 1.3439, due to risk-off sentiment as global yields climbed and geopolitical tensions resurfaced. Domestic political uncertainty continued to inject sporadic volatility while capping upside potential. The UK labour market added to the pressure, with unemployment rising and wage growth falling sharply.USDJPY ticked higher in a 158.74-159.18 band, firming as US yields ground higher and elevated oil prices added to demand. Concerns over a potential new supplementary budget are lending the pair underlying support, while complicating the Bank of Japan's justification around for FX intervention.AUDUSD slipped from 0.7177 to 0.7109 as softer equity markets and uneven commodity performance sapped demand for the currency.Broad USD strength, underpinned by buoyant global yields and geopolitical unease, weighed on the pair throughout the session. The RBA minutes from May 5 contained nothing new and provided no fresh directional catalyst.