Dollar skids as investors await 1st U.S. presidential debate
The dollar on Tuesday dropped from last week’s two-month highs, as investors capitalized on recent gains in the greenback and cautiously looked ahead to the first debate between U.S. President Donald Trump and Democratic challenger Joe Biden.
“The debate is so much awaited because of all the political tensions going and also because economically both candidates have different visions for the country,” said Juan Perez, senior currency trader, at Tempus Inc in Washington.
“There is a lot more volatility on the domestic side than on the international side. Global sentiment is also a little better than that in the U.S. and so it’s making sense that investors are moving away from the U.S. dollar,” he added.
In afternoon trading, the dollar index fell 0.3% to 93.879 , after hitting a two-month peak on Friday.
Markets were also waiting for developments in talks over aid for people affected by the coronavirus in the United States.
The euro firmed across the board, rising 0.6% against the dollar to $1.1737, after hitting a getting one-week peak.
European Central Bank policymakers are increasingly divided over how to steer Europe’s economy through a second wave of COVID-19 infections.
Sterling, meanwhile, rose on hopes for a Brexit deal and the Bank of England’s deputy governor saying he thought the floor for the central bank’s key interest rate was 0.1%.
The pound was last up 0.3% at $1.2867.
Reference: CNBC
Thai
Eng