Currency traders at mid-week trading session increased their buying pressure on the safe-haven currency greenback, as they turned away in masses from riskier fiat currencies. This is so, given the prevailing geopolitical uncertainty surrounding the COVID-19 pandemic – particularly in Europe, and coupled with sentiments surrounding the very close U.S presidential election.
READ: Gold prices under pressure, U.S dollar ticks up
READ: World Bank puts pressure on Nigeria for more forex reforms to aid recovery
What you should know
- At the time of writing, the U.S. Dollar Index, which tracks the greenback against a basket of six global currencies, gained 0.5%.
- Also at the time of writing EUR/USD was down 0.4% at 1.1749, falling for the third consecutive trading day.
READ: Large BTC entity transfers over $100 million worth of Crypto
The dollar has gained traction of late on the bias that the COVID-19 virus seems to be going out of hand; thereby, leading traders to increase their long bets on the U.S dollar – as the virus spreads in key markets, in places like Europe and the United States. This has fanned concerns that pre- COVID-19 economic growth is not happening anytime soon.
Explore Data on the Nairametrics Research Website