Dollar heavy in thin trading

Kathryn Garvey

November 27, 2020

Dollar heavy in thin trading

The dollar is softer versus most majors, stronger only versus the Japanese yen as currencies linked to riskier assets advanced in thin trading and month end flows.

“In three words I can sum up everything I've learned about life: it goes on."

Robert Frost

FX Rates
November 27, 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.

EUR/USD 1.1938
GBP/USD 1.3351
USD/CAD 1.2981
AUD/USD 0.7383
USD/JPY 104.17
USD/CNH 6.5725
USD/ILS 3.3167
USD/MXN 20.0327
USD/CHF 0.9069
USD/INR 74.04
USD
The dollar remains at the lowest levels since April of 2018 on month end flows and low volume. The heavy dollar was offset by optimistic sentiment in US equity markets, as both the S&P and Nasdaq are up about 11% on the month.
GBP
The pound slipped slightly, but holds onto a 0.4% weekly gain versus the dollar and longest winning streak since January. EU’s chief Brexit negotiator will meet EU fisheries today ahead of next week’s resumption of face to face talks in London.
EUR
The euro holds steady above 1.19 adding 0.1% today and finishing the week 0.6% stronger versus the greenback.
CAD
The loonie climbed to two week highs versus the dollar and is higher versus many G-10 peers even amid retreating oil prices.
ASIA/PACIFIC
USDJPY fell as much as 0.3% to below the 104 level as some investors sought havens amid the surge in coronavirus cases.

The Chinese yuan is lower on corporate demand for the dollar while investors listen for more clues for U.S. President Elect’s policy sentiment towards China.

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 PrivacyOffice@svb.com. You can withdraw your consent at any time.

Source: Bloomberg

This article is intended for U.S. audiences only.

©2021 SVB Financial Group. All rights reserved. Silicon Valley Bank is a member of the FDIC and the Federal Reserve System. Silicon Valley Bank is the California bank subsidiary of SVB Financial Group (Nasdaq: SIVB). SVB, SVB FINANCIAL GROUP, SILICON VALLEY BANK, MAKE NEXT HAPPEN NOW and the chevron device are trademarks of SVB Financial Group, used under license.

The views expressed in this email are solely those of the author and do not reflect the views of SVB Financial Group, or Silicon Valley Bank, or any of its affiliates. This material, including without limitation the statistical information herein, is provided for informational purposes only. The material is based in part upon information from third-party sources that we believe to be reliable, but which has not been independently verified by us and, as such, we do not represent that the information is accurate or complete. The information should not be viewed as tax, investment, legal or other advice nor is it to be relied on in making an investment or other decisions. You should obtain relevant and specific professional advice before making any investment decision. Nothing relating to the material should be construed as a solicitation or offer, or recommendation, to acquire or dispose of any investment or to engage in any other transaction.

Foreign exchange transactions can be highly risky, and losses may occur in short periods of time if there is an adverse movement of exchange rates. Exchange rates can be highly volatile and are impacted by numerous economic, political and social factors, as well as supply and demand and governmental intervention, control and adjustments. Investments in financial instruments carry significant risk, including the possible loss of the principal amount invested. Before entering any foreign exchange transaction, you should obtain advice from your own tax, financial, legal and other advisors, and only make investment decisions on the basis of your own objectives, experience and resources.

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.

Daily FX Update: The US dollar hits 7-week lows as EUR advances on vaccine news

Cate Camerota

Global stocks reach all-time highs on strong China GDP, soft US bond yields

Scott Petruska, CFA

Daily FX Update: Lower dollar, higher stocks amid upbeat US earnings & economic data

Scott Petruska, CFA

Daily FX Update: Stocks firm, dollar lower ahead of bank earnings reports

Scott Petruska, CFA

Daily FX Update: CPI exceeds expectations, stocks and dollar mixed

Scott Petruska, CFA

Daily FX Update: Stocks & dollar lower ahead of inflation and retail sales data

Scott Petruska, CFA