The Pound continued to move downwards on Tuesday as investors remained concerned about the growing number of coronavirus cases.
Investors are questioning the decision to remove restrictions, fearful that it could lead to the introduction of restrictions as cases continue to rise. There was no notable data driving the currency in any direction, as a result, it finished the day at 1.1567 against the Euro and 1.3629 according to the Foreign Exchange Market.
The EU experienced some modest gains yesterday as the single currency took advantage of its peers experiencing problems as a result of coronavirus figures. Despite this, gains were limited by the coronavirus situation across Europe as more countries are reporting an increase in cases.
Things improved for the US Dollar as it gained a lot of support thanks to the downbeat market mood, causing investors to turn to the safe-haven currency. With uncertainties surrounding the outlook for the global economy and the growth of coronavirus cases, the Greenback is gaining a lot of attention. This means that there is a lot of potential for the US Dollar to push higher and extend its gains, especially if the risk-off mood continues.