The US dollar's strength is being dimmed by a growing gap with government bond yields, reported by StoneX. Analysts from FXStreet note that AI jitters have eroded the dollar's safe-haven appeal, with no clear direction for the future. The USD/JPY forecast shows the dollar stays strong ahead of the consumer price index. Meanwhile, the Canadian dollar is declining as anticipation of upcoming interest rate increases wanes. The iShares S&P 500 AUD Hedged ETF (ASX:IHVV) is doing better than unhedged US shares as the Australian dollar strengthens.