DAILY MARKET NEWS: Worst Week in Ten Years for the US Dollar
On Friday 27th March the Pound continued its journey of a resurgence at the end of last week as it reached 1.1177 against the Euro. As the US slumped, the foreign exchange rate for the pound against the dollar reached 1.2457. However, the pound did struggle as the day came to a close following the news that the Prime Minister had been diagnosed with Coronavirus.
It was a slightly different story for the Euro, however, as there was hope that Italy might have hit its peak in Coronavirus cases and deaths but this was not the case, pushing it down in value. There could be more bad news for the Euro currency and international payments as there could be some difficulties following the business confidence survey for March. All of which is likely to report a challenging fall in the economic sentiment for the Eurozone.
It was the biggest weekly fall in ten years for the US dollar and this came following the news of a stimulus package worth $2.2 trillion. What’s more, there were further concerns about USD liquidity. As this week progresses, the US payroll figures, which are hugely influential will be published. However, the results are likely to bring on more misery for the US currency.