Dollar ends lower for sixth straight week

The dollar will end the week lower for the sixth time in a row. Data out of the US today showed personal incomes declined in June as benefits of stimulus checks subsided. Congress has failed to agree on a second stimulus deal as $600 a week benefits for the unemployed expire.

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Joanne Kathleen Rowling
  • FX Rates
    July 31, 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

    The dollar pares some losses and is set to end lower for the sixth straight week. On the data front, personal incomes declined 1.1% in June – more than the 0.6% decline expected. Consumer spending increased by 5.6%, but remains largely below pre-pandemic levels.

    GBP

    The pound added 0.3% and could continue to gather steam if spot continues to move further away from 1.30 strikes that expire in the next two weeks.

    EUR

    The euro is testing its 100-month moving average of 1.1885 amid profit taking. The Common Currency slid off of a 1.1909 high for the day after a report showed the eurozone has officially sank into a recession.

    CAD

    The Canadian dollar is rangebound in month-end flows and unchanged following May’s GDP release which showed an expected 4.5% gain.  

    ASIA/PACIFIC

    The offshore  yuan strengthened 0.31% versus the dollar. On Thursday, President Xi Jinping said that monetary policy must be more targeted and given he did not call for lower interest rates or reserve requirement ratios, authorities will keep monetary policy stable in the medium term.

    Japanese yen advances 0.4% versus the dollar after PMI and consumer spending releases this morning.

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Kathryn Garvey
WRITTEN BY
Kathryn Garvey

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