The dollar finished last week in a strong position against the pound and the euro. It was still benefitting from ‘safe-haven’ demand due to fears of a second COVID-19 wave.
Friday concluded with several speeches from Federal Reserve officials, include Chairman Jerome Powell, who commented on the latest coronavirus developments and the effects on the economy. He said: “The path ahead for the US economy is likely to be challenging, it will take time and work.” He also made reference to the “cruelty” of the pandemic, which “has exposed a range of troubling inequalities, many long-standing.”
There will be a series of data releases for the US this week, including GDP data on Thursday which will reveal how the economy has been coping.
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.
