Today’s Currency News: US Dollar Suffers its Worse Week in Over a Decade as Coronavirus Crisis Continues

Pound Sterling (GBP) Exchange Rates Extend Rally

The Pound (GBP) continued to punch higher at the end of last week’s session, with the UK currency taking advantage of another slump in the US Dollar.
However, Sterling sentiment took a slight knock in the afternoon as Prime Minister Boris Johnson became the first world leader to acknowledge he had tested positive for the coronavirus.
Looking ahead, GBP investors will be keeping a close eye on coronavirus developments this week after Johnson warned over the weekend that stricter restrictions may be needed as things are likely to get worse before getting better.

Euro (EUR) Muted Amid Coronavirus Concerns

The Euro (EUR) came under pressure on Friday as hopes that the coronavirus outbreak in Italy may have peaked were quashed by a jump in both reported cases and deaths.
The death toll in Italy has now passed 10,000, with Italian Prime Minister Giuseppe Conte warning over the weekend that the EU could lose it purpose if members do not step up to do more to respond to the crisis.
Coming up this morning, the Euro could face some headwinds as investors are bracing for March’s business confidence survey to report a sharp fall in Eurozone economic sentiment due to the coronavirus.

US Dollar (USD) Suffers Worst Week Since 2009

The US Dollar (USD) posted its largest weekly fall in over a decade last week.
Friday’s plunge came as the US House of Representatives approved a massive $2.2 trillion stimulus package and concerns over USD liquidity continued to fade.
Looking to the week ahead, all eyes will be on the publication of the highly influential US payroll figures, which are expected to show a dramatic collapse in employment growth this month due to the coronavirus crisis.

Canadian Dollar (CAD) Suffers as Oil Prices Slump

The Canadian Dollar (CAD) trended lower on Friday, with the oil-sensitive ‘Loonie’ struggling to hold its ground as WTI crude fell back to $21 per barrel.

Australian Dollar (AUD) Surges on USD Weakness

The Australian Dollar (AUD) was catapulted higher at the end of last week’s session, with the appeal of the risk-sensitive ‘Aussie’ rising in response to broad weakness in the US Dollar (USD).

New Zealand Dollar (NZD) Buoyed by Risk-On Trade

The New Zealand Dollar (NZD) also benefited from the slump in USD exchange rates last week, with the resulting risk-on mood helping to carry the ‘Kiwi’ higher on Friday.

Data Releases
10:00 EUR Economic Sentiment (Mar)
13:00 EUR German Inflation (Mar)

Matthew Andrews

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