The dollar strengthened yesterday to a four-month against the euro while staying broadly flat against the pound. The dollar index – a comparison against six other leading currencies showed the dollar at its strongest since November, supported by worries over a significant hedge fund collapse and the Suez blockage, as well as Europe’s third Covid wave.
Against EUR the dollar has gained a full cent over the course of a week – two cents over the month – mainly based on the relative success of America’s vaccine programme.
However, US health chiefs warned that a third wave to match Europe’s is a distinct possibility.
On the data front we have house prices and consumer confidence today.
For more on currencies and currency risk management strategies, please get in touch with your Smart Currency Business trader on 020 7898 0500 or your Private Client trader on 020 7898 0541.
