Daily FX Update: Renewed concern on virus; USD set for weekly gain

Cate Camerota

June 19, 2020

Renewed concern on virus; USD set for weekly gain

The US dollar fell lower early in the trading session but is still on track to end the week with a gain. The greenback remains supported by investors seeking safe haven assets as focus remains on potential second wave of the coronavirus. G10 currencies remain within a tight trading range.

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FX Rates
June 19, 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 1.1233
GBP/USD 1.2386
USD/CAD 1.3569
AUD/USD 0.6894
USD/JPY 106.8800
USD/CNH 7.0677
USD/ILS 3.4455
USD/MXN 22.5581
USD/CHF 0.9496
USD/INR 76.1913
USD
The dollar index fell lower after China reported that the country plans to accelerate purchases of farm goods from America to comply with the phase one trade deal. The Bloomberg Dollar Spot Index is on track to end the week with a gain of 0.3% to add to last week’s gain of 0.4%.
GBP
GBP/USD fell to 1.2361 weakening as much as 0.5% as demand for sterling options increase ahead of a Brexit deadline. For the first time since 1963, the UK debt level reached 100% of GDP. The currency pair has since rebounded trading back above 1.2400.
EUR
A statement from German Chancellor Merkel and ECB President Lagarde said that EU negotiators need to deliver on stimulus. EUR/USD popped higher this morning trading up to 1.1254.
CAD
The Canadian dollar strengthened as commodity prices traded higher and risk sentiment improved. USD/CAD fell below 1.3550 and is currently hovering around that level.
ASIA/PACIFIC
The Japanese yen was little changed but advanced slightly against peers as hospitalizations in Beijing and a few US states increase as the corona virus continues to spread.

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

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Source: Bloomberg

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

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WRITTEN BY

Cate Camerota

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