The dollar broadly retained its strength yesterday, as investors are turning to the greenback for its safe haven status. This comes during the coronavirus outbreak, and due to the fact that the markets are pricing in both a win for President Trump in the upcoming elections and no imminent interest rate cuts from the Federal Reserve.
However, President Trump tweeted yesterday to say that the current interest rate is too high, which is hurting exports.
Federal Reserve Chair, Jerome Powell gave a testimony to Congress in the afternoon. He said that the central bank is “closely monitoring” the coronavirus for its impact on China and the global economy. He also said that despite the threat of the virus, Fed policy is well positioned after a series of rate cuts in 2019.
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