Dollar continues to slide on risk sentiment, euro and pound rise

Markets, seemingly ignoring current events, are buoyed on optimism about the restart of global economic activities. Futures rose again overnight as Dr. Fauci expressed optimism about a vaccine. The dollar continued to slide versus G-10 currencies with the exception of the Japanese yen.
“The beauty of anti-racism is that you don’t have to pretend to be free of racism to be an anti-racist. Anti-racism is the commitment to fight racism wherever you find it, including in yourself. And it’s the only way forward.”  
Ijeoma Oluo, Author “So You Want To Talk About Race”
  • FX Rates
    June 3, 2020

    Rates are not real time. Rates are today's indicative mid-market rates as of time of publishing, which may vary. Please contact SVB for a current quote.


  • USD
    Dollar is a little lower – sitting below the 200-day moving average as equities continue to rise. May ADP, PMI and April factory orders are set to release today.
    GBP

    The pound rose half a percent on the news of optimistic sentiment regarding a compromise on a trade deal between the UK and the EU.

    EUR
    The euro rose versus the dollar after PMI for the euro area confirmed some parts of the region are starting to economically recover. Gains were capped amid profit-taking. Prospects of a stimulus package for Germany and increased stimulus from the ECB remain in focus for investors.
    CAD

    The Canadian dollar slipped versus the greenback following two days of gains as oil prices fell ahead of a pending OPEC+ meeting where some nations are suspected of cheating on their output-cuts agreements.  

    ASIA/PACIFIC
    The Japanese yen underperformance sent the pair to test 108.8 levels. The Australian dollar continues to recover touching a 5-month high yesterday fueled by global risk appetite.
Contact Us

For more analysis on FX markets or information regarding SVB's FX services:

Contact your respective SVB FX Advisor or the SVB FX Advisory Team at fxadvisors@svb.com.
See all of SVB's latest FX information and commentary at www.svb.com/trends-insights/foreign-exchange-advisory

Subscribe to receive the Daily FX Update in your inbox.

By providing your email address and clicking on the Subscribe button below, you consent to receive emails from Silicon Valley Bank for your chosen categories. You also consent to the terms of our Privacy Notice. If you have privacy questions, you may contact us at privacy@svb.com. You can withdraw your consent at any time.

Kathryn Garvey
WRITTEN BY
Kathryn Garvey

Insights from SVB Industry Experts

 
SVB experts provide our customers with industry insights, proprietary research and insightful content. Check out these related articles that may be of interest to you.
Upbeat US labor data leading stocks higher, dollar softer
 
Dollar steady, markets consolidating
 
Dollar gains on profit-taking of risk assets
 
China rally fuels global risk-on sentiment, dollar lower
 
Dollar ends week on back foot
 
Dollar slides as jobs report surprises