Market Analysis

The dollar is showing some weakness

FOREX

The dollar is showing some weakness during early Monday trading, following a weekend dominated by speculation over the health of the US President with the latest reports pointing at an improvement in Donald Trump’s condition and the possibility of a hospital discharge later today. Once again the currency traders pivoted around the greenback’s safe-haven role, buying dollar-denominated assets at times of greater uncertainty, as happened on Friday after news of the President’s positive COVID test first emerged creating an added degree of risk for the economy with the implications such a scenario could have in terms of a potential power vacuum and on the electoral process. Conversely, as the President’s health appears to be improving, risk appetite increases and investors feel less compelled to seek the safety of dollar-denominated assets.

Ricardo Evangelista – Senior Analyst, ActivTrades

 

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