Risk on sentiment keeps dollar lower
The greenback is lower versus all G-10 peers with the exception of the Japanese yen and Swiss franc. Despite civil unrest across the United States, investors focus on the reopening of some economies and additional stimulus. European investors look ahead to the Thursday when UK-EU trade negotiations begin, and an ECB meeting is likely to provide more stimulus.
June 2, 2020
EUR/USD 1.1174 GBP/USD 1.2562 USD/CAD 1.3534 AUD/USD 0.6853 USD/JPY 108.38 USD/CNH 7.1163 USD/ILS 3.4743 USD/MXN 21.8626 USD/CHF 0.9620 USD/INR 75.3562
USDThe dollar slid as equities traders looked past immense social unrest in the states to signs of additional stimulus. The dollar slid for the fourth session in a row. The labor report out on Friday is expected to show unemployment top 19% for May – the highest since the 1930's.GBP
Sterling also rose versus the dollar helped by a report indicating the UK is willing to compromise with the EU during trade negotiations that are set to resume on Thursday.EUR
The euro carried higher for a sixth day amid unwinding of carry trades, and momentum ahead of Thursday’s ECB meeting where they are expected to expand stimulus measures by 500 billion euros.CADThe Canadian dollar rose to three-month highs versus the dollar as oil prices continued to climb and the pair carried through a technical support line yesterday.ASIA/PACIFIC
A key technical level triggered sales on the Japanese yen and the pair is trading higher at 108.47. The Australian dollar also outperformed rising 1% to a new four-month high.
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