Tensions with China continue to put pressure on the dollar, with Congress examining a bill passed by the Senate that requires companies to certify they are not owned by a foreign government if its audits cannot be inspected in America. While ostensibly aimed globally, it is acknowledged to be targeted at China. Meanwhile, Trump tweeted that ‘it was the incompetence of China and nothing else that did this mass worldwide killing’. Mike Pompeo also said that China’s contributions to fighting the pandemic are ‘paltry’ at a briefing yesterday.
Manufacturing and composite PMI came in better than expected yesterday. However, continuing jobless claims were higher than expected, and the news that unemployment has hit 14.7%, the worst since records begin, put pressure on the dollar.