Markets continue risk-on trading

Despite concerns of coronavirus spread in Beijing and the US, investors are focusing on stimulus efforts, vaccine progress and re-opening of economies. The US dollar is mixed against its peers while equities continue to be supported. News out of the eurozone showed that Germany’s cabinet accepted a multi-billion euro debt plan and that the country approved human trials for a new vaccine.

“If you are uncomfortable – in deep pain, angry, yearning, confused – you don’t have a problem, you have a life. Being human is not hard because you’re doing it wrong, it’s hard because you’re doing it right. You will never change the fact that being human is hard, so you must change your idea that it was ever supposed to be easy.”
Glennon Doyle
  • FX Rates
    June 17, 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 greenback remains largely unchanged with the Bloomberg Dollar Spot Index down less than 0.1%. Federal Reserve Chairman Jerome Powell is due to speak before the House Financial Services Panel later today.
    GBP
    Inflation data out of the UK was the weakest release since 2016 causing speculation of additional stimulus at the Bank of England’s meeting on Thursday. GBP/USD fell as much as 0.4% before paring losses trading around 1.2565.
    EUR

    EUR/USD fell as much as 0.4% as traders turn cautious on risk given the surge in corona virus cases in Beijing and the US. The euro leads losses against the USD and remains the biggest loser for G10 currencies.

    CAD
    The Canadian dollar is holding its ground while risk sentiment remains intact. USD/CAD fell as much as 2% earlier in the trading session and remains slightly lower trading around 1.3545.
    ASIA/PACIFIC
    USD/JPY remains steady after falling as low as 107.17. The Japanese yen strengthened against the US dollar on concerns of a second wave of the corona virus. Bank of Japan kept its debt purchase amount unchanged.
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.

Cate Camerota
WRITTEN BY
Cate Camerota

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