The euro today rallied higher against the US dollar early in the session as buyers stepped in pushing the pair higher from yesterday’s multi-year lows. The EUR/USD currency pair later lost momentum and headed lower driven by high demand for the US dollar.
The Chinese yuan is rebounding at the end of the trading week, buoyed by the central bank’s recent stimulus measures to stimulate the world’s second-largest economy as the country tries to return to normal. The yuan had breached the crucial 7 mark against the US dollar this week, but the currency might recover amid encouraging economic progress.
The US dollar is surging against nearly all major currency rivals on Thursday as investors seek shelter from the ocean of red ink flooding global financial markets. The greenback is rallying despite the Federal Reserve set to pump more than $1 trillion into the market amid the coronavirus outbreak wreaking havoc on everything and the oil price war just beginning.
The Chinese yuan is rising against the US dollar and is mixed against other currency rivals, midweek as global financial markets brace for China’s reboot. With the death toll and the number of confirmed cases subsiding, Beijing is preparing to gradually return to normal. But just how bad was the coronavirus for the Chinese economy? The consensus is simple: expect the worst and hope for the best.
The Japanese yen gained against most of the other currencies today as coronavirus fears continued to drive investors to safer assets. The yen, being one of such assets, profited immensely from the demand for safety. Japan’s macroeconomic data released today was good but had a limited impact on the currency.
The euro today traded at multi-year lows against the US dollar despite the release of positive German macro reports in the early European session. The EUR/USD currency pair fell to lows last witnessed in April 2017 after the results of the last French election were announced.
The Chinese yuan is mixed midweek as traders are waiting to see how the federal government reacts to the economic fallout from the Wuhan coronavirus, which was recently named Covid-19 by the World Health Organization (WHO). The central bank has responded and Beijing has unleashed several stimulus measures, but disappointing 2019 fiscal numbers might limit what the federal government can do.
The Australian dollar rose today after China’s consumer inflation accelerated more than was expected by markets. The market sentiment was still cautious as the Wuhan coronavirus continued to spread across China.
The euro today fell against the much stronger US dollar, which was boosted by the upbeat data released on Monday. The EUR/USD currency pair kept falling despite the release of upbeat data from across the euro area as the coronavirus human and economic toll mounted.
The Canadian dollar is weakening against most major currency rivals to finish the trading week, despite the national economy beating market forecasts in November. The loonie’s fall is being mostly driven by a drop in energy prices caused by demand concerns amid the Wuhan coronavirus. The nation’s fiscal picture and inflation also rose more than what the market had projected.
