Dollar eyes 1 weekly gain on soggy sterling
Dollar index set for 6th weekly rise
US jobs data due as bonds nurse losses
Markets expect data to show 160,000 jobs added

Jan 10 Reuters The dollar looked set to log a sixth straight week of outperformance against other currencies on Friday, underpinned by elevated bond yields and expectations of another strong set of U.S. job numbers, while sterling continued to slide.

A global selloff in bonds has dominated markets this week, fuelled by fears of a pickup in inflation, as well as uncertainty over tariffs under the incoming U.S. administration led by Donald Trump.

This has boosted the dollar, and cast a shadow over other currencies, which have recorded steep losses against the greenback.

U.S. 10year Treasury yields remained elevated on Friday. The yields have climbed around 10 basis points this week to 4.69.

Markets were relatively subdued on Friday, jittery ahead of key U.S. nonfarm payrolls data, which investors will eye to confirm their view that U.S. rates could stay higher for longer.

We think the balance of risks is tilted to the upside for the dollar today, as robust job figures could prompt markets to price out a March cut and potentially push the first fullypriced move beyond June, said Francesco Pesole, ING forex strategist.

The pound continued to slide on Friday, and was last down 0.17 at 1.2285.

The dollar has gained 1 this week on the pound, which was battered to a 14month low on Thursday in tandem…