Risk-off trading continues, USD supported
Investors remained concerned over the uncertainty of the delta variant and how it could impact the global economic recovery. The British pound has remained weak amidst concerns of the virus’s impact domestically and potential political tension. The European Central Bank begins its two day meeting today.
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July 21, 2021
EUR/USD 1.1765 GBP/USD 1.3638 USD/CAD 1.2654 AUD/USD 0.7321 USD/JPY 110.3 USD/CNH 6.4728 USD/ILS 3.2899 USD/MXN 20.2141 USD/CHF 0.9219 USD/INR 74.6163 USD/BRL 5.2514 USD/SGD 1.3678 USD/DKK 6.3230 USD/SEK 8.7170 USD/NOK 8.9766
The US dollar traded higher, approaching year to date highs earlier in the session. Concern regarding the delta variant and a rebound for the global economy has continued to support risk-off trading including the US dollar.GBPSterling weakens for a fifth session on concerns surrounding the delta variant, domestic concerns about the virus and potential political tension between the UK and the EU. GBP/USD was down as much as 0.3% hitting a low of 1.3591.EUR
EUR/USD remains largely unchanged sticking to a tight range of 1.1752-1.1783. The European Central Bank begins its two-day meeting today which could dictate direction.CAD
The Canadian dollar rebounded against the US as oil prices gained reclaiming the $68/bbl handle. USD/CAD dropped back towards 1.2660 after hitting a high of 1.2730.ASIA/PACIFICThe Australian dollar drops for a 5th day on track for its longest streak of losses since September as the nation tightens virus restrictions.
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