EUR/USD price action snapped sharply lower during afternoon trade on the heels of broad-based US Dollar strength. The move was sparked by an acceleration in the recent bond selloff, which catapulted the 10-year Treasury yield toward the 1.55% level. Markets were reacting to the lack of pushback from Fed Chair Powell during his speech about recent bond market volatility, toeing the line of other recent FOMC officials saying they are simply keeping an eye on the developments. Powell added that the central bank monitors a broad range of financial conditions and that the Fed is a long way from its goals.

EUR/USD PRICE CHART: 1-HOUR TIME FRAME (28 FEB TO 04 MAR 2021)

EUR/USD now searches for technical support near the 1.2000-price level and could remain under pressure if the US Dollar continues to gain ground alongside Treasury yields.

NASDAQ PRICE CHART: DAILY TIME FRAME (24 AUG 2020 TO 04 MAR 2021)

Chart by @RichDvorakFX created using TradingView

Treasury yields also coincided with a drop in the Nasdaq to fresh session lows. The tech-heavy sector has been hit particularly hard as of late due to the impact of higher interest rates on equity valuations. Stock market bears might attempt to wrestle Nasdaq price action toward the 12,000-mark where potential technical support resides.