The Dollar appears to have lost it’s safe-haven status in recent days, with investors rather moving to Gold and the Euro. The escalating US-China tensions have seen the Dollar slide, Gold soar, stocks fall, and the Euro firm. Worries over the surging Coronavirus cases in the US and its impact on the US economy is troubling investors.
The Euro has climbed to a near two year high this morning, breaking above the 1.1700 level to touch 1.1724 earlier. We have slipped back a touch and are currently trading at 1.1702 while the Pound sits at 1.2830 with the DXY at 93.976. The Rand, which weakened to 16.8000 levels on Friday, is firmer this morning on the weak Dollar and is trading at 16.6140. Most EMs, along with the Aussie and Kiwi are trading stronger today.
Asian stocks are all in the red this morning, following on Wall Street’s negative close on Friday. US futures, however, are trading slightly firmer this morning.
Gold hit a new record high of $1 943.92 earlier this morning in the Far East and is currently trading at $1 933.35. Platinum and Palladium are also stronger this morning at $942.00 and $2 250.80 respectively. Oil is trading marginally weaker on the economic growth concerns with WTI at $41.27 and Brent crude at $43.30.
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