The dollar is still weak against the pound but has edged slightly higher against a basket of currencies this morning. Despite this, global optimism due to vaccine rollouts and economic recovery could mean that the dollar weakens over the coming days and weeks.
Federal Reserve Chair, Jerome Powell, will testify in front of Congress this week. The markets will study his words carefully for any clues as to when the central bank’s easy monetary policy stance will start to change.
Focus will also be on any progress with President Biden’s $1.9 trillion fiscal stimulus bill, where a vote could go to the House floor this Friday.
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.
