The Dollar continues to decline ahead of consumer confidence numbers today that are unlikely to help.
Earlier in the Day:
It’s was another quiet start to the day on the economic calendar. There were no material stats through the Asian session to provide the majors with direction.
A lack of stats left the markets in the hands of geopolitics and COVID-19.
Tensions between the U.S and China and the continued spike in new U.S COVID-19 cases support the Asian majors amidst the Dollar meltdown.
Looking at the latest coronavirus numbers
According to figures at the time of writing, the number of new coronavirus cases rose by 229,469 to 16,642,263 on Monday. On Sunday, the number of new cases had risen by 213,347. The daily increase was higher than Sunday’s rise and up from 182,589 new cases from the previous Monday.
Germany, Italy, and Spain reported 7,167 new cases on Monday, which was up from 663 new cases on Sunday. On the previous Monday, 5,413 new cases had been reported. The spike came from Spain that had not reported any new cases for 2 consecutive days before a 6,361 jump on Monday.
From the U.S, the total number of cases rose by 61,571 to 4,433,410 on Monday. On Sunday, the total number of cases had increased by 56,130. On Monday, 20th July, a total of 62,790 new cases had been reported.
At the time of writing, the Japanese Yen was up by 0.07% to ¥105.30 against the U.S Dollar. The Aussie Dollar was up by 0.28% to $0.7169, with the Kiwi Dollar up by 0.21% to $0.6698.
The Day Ahead:
For the EUR
It’s a particularly quiet day ahead on the economic calendar. There are no material stats from the Eurozone to provide the EUR with direction.
A lack of stats will continue to leave the EUR in the hands of COVID-19 and geopolitics. With the Greenback on the slide as a result of the continued rise in new COVID-19 cases, only an EU-wide 2nd wave can really do any damage.
At the time of writing, the EUR was up by 0.11% to $1.1765.
For the Pound
It’s another particularly quiet day ahead on the economic calendar. There are no material stats due out of the UK to provide the Pound with direction.
A lack of stats will leave the Pound in the hands of Brexit and market risk sentiment.
At the time of writing, the Pound was up by 0.13% to $1.2899.
Across the Pond
It’s another relatively busy day ahead for the U.S Dollar. July consumer confidence and May house price figures are due out later today.
With the FED in action tomorrow, we can expect plenty of interest in the consumer confidence figures. The U.S is struggling with the 2nd wave of the COVID-19 pandemic. Concerns over the impact on the economy amidst current unemployment levels will likely weigh.
Away from the calendar, the U.S stimulus package, tensions between the U.S and China, and COVID-19 will also influence.
At the time of writing, the Dollar Spot Index was down by 0.17% to 93.513.
For the Loonie
It’s a particularly quiet day ahead on the economic calendar. There are no material stats due out of Canada to provide the Loonie with direction.
Concerns over the impact of COVID-19 on the U.S economy has limited the upside for the Loonie. Rising tensions between the U.S and China have also impacted. The narrative is unlikely to change anytime soon, particularly as the U.S struggles to curb the 2nd wave spread of the virus.
At the time of writing, the Loonie was up by 0.16% to C$1.3334 against the U.S Dollar.