logo
Plus   Neg
Share
Email

Dollar Rebounds After Six Successive Days Of Losses

The U.S. Dollar turned positive after recent successive losses as traders looked ahead to further stimulus from the U.S. government and the Federal Reserve meeting that is likely to retain its accommodative monetary policy.

U.S. Senate Republicans on Monday proposed a $1 trillion coronavirus aid package that slashes unemployment benefits from the current $600 per week to $200, generating swift backlash from Democrats.

The proposal extends the paycheck protection programme, which is scheduled to expire on August 8.

Senate Majority Leader Mitch McConnell urged Democrats to compromise with Republicans on the plan, as unemployment benefits will expire at the end of this week.

According to a report from the Conference Board, consumer confidence in the U.S. deteriorated by more than expected in the month of July, after showing a substantial improvement in the previous month.

The Conference Board said its consumer confidence index slumped to 92.6 in July after jumping to an upwardly revised 98.3 in June. Economists had expected the consumer confidence index to pull back to 95.7 from the 98.1 originally reported for the previous month.

The bigger than expected drop by the headline index came as consumers grew less optimistic about the short-term outlook for the economy, with the expectations index tumbling to 91.5 in July from 106.1 in June.

The dollar index, which rose to 94.01 in the Asian session, gave up gains and slipped to 93.49 later on in the day, but emerged into positive territory again as the day progressed. It was last seen at 93.78, up 0.12% from previous close.

Against the Euro, the dollar firmed up to $1.1700 in the Asian session, and despite paring some gains, was up 0.3% at $1.1718 in late afternoon.

The Pound Sterling was stronger with a unit of Sterling fetching $1.2931, about 0.4% more than Monday's close.

The Japanese currency Yen firmed up to 105.09 a dollar, gaining nearly 0.3%.

Against the Aussie, the dollar drifted down to $0.7158, giving up 0.13%.

The Swiss franc was stronger by more than 0.2% at CHF 0.9179 a dollar, while the Loonie weakened to C$1.3377, losing 0.16%.

For comments and feedback contact: editorial@rttnews.com

Forex News

Follow RTT