US dollar on track for worst week since 2009
After gaining almost 8% over the last two weeks, the US dollar pared gains by falling 3.5% this week. In the past 5 days, the US currency has fallen 5% against the British pound, Australian dollar and Mexican peso.
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March 27, 2020
EUR/USD 1.0956 GBP/USD 1.2220 USD/CAD 1.4114 AUD/USD 0.6042 USD/JPY 108.78 USD/CNH 7.1095 USD/ILS 3.5895 USD/MXN 23.4676 USD/CHF 0.9648 USD/INR 74.8538
In addition to a reverse in market sentiment, the US dollar has weakened on the continued spread of the virus domestically along with poor economic data. The number of cases in New York caused the US to surpass China in terms of the number of infections. The jobless claims data added to the dark view of the US economy.GBPSterling rallied the most in one week in more than a decade. The UK is set to face the worse of the coronavirus spread over the next month. Investors look to take advantage of short-term gains.EUREUR/USD fell below 1.10 after trading to a high of 1.1032. The EUR slipped to session lows as Spain announced their most deadly day yet with the virus, with 769 deaths.CADThe loonie fell with oil prices trading above 1.41 after previously falling to a low of 1.3990. WTI oil is trading around $21/bbl after Saudi announced that there would be no discussion with Russia about joint output cuts.ASIA/PACIFIC
The Japanese yen soared as much as 1.2% in overnight trading ahead of Japan’s end to the fiscal year on March 31.
AUD/USD rose around 0.4% as exporter demand increased.
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