Currencies Overview: EUR and GBP Facing Pressure, US Dollar Continues to Rise

The euro and the pound faced pressure against the dollar today, Tuesday, with the outbreak of a new strain of the Coronavirus in Britain, which led to the closure of important trade routes and caused a crisis in supply chains with the close of the deadline for concluding a trade agreement of Brexit.

The euro fell 0.31% to $1.2209, while the British pound lost 0.33% to $1.3422, recouping part of its sharp losses that amounted to 2.5% in the previous session.

The sterling settled against the euro at 90.95 pence, after suffering heavy losses due to Monday’s transportation crisis.

Sterling received some support from data that revealed that the economic recovery from the repercussions of the Corona pandemic is slightly faster than previously expected in the period between July and September.

The dollar index rose 0.16% against a basket of currencies to 90.279 after the US Congress reached an agreement on a new stimulus package.

In Asia, the Australian dollar fell 0.4% to $ 0.7554, while the New Zealand dollar fell 0.55% to $ 0.7065.

The Chinese yuan fell slightly to 6.5448 against the dollar on Tuesday, after stabilizing for about a week.

The Chinese currency has risen nearly ten percent against the dollar from its lows in March.