Pound (GBP) Advances Despite Sharp Rise in Coronavirus Deaths
The Pound (GBP) moved broadly higher on Wednesday, as the UK currency extended its rally into its fifth consecutive session, catapulting GBP to a new two-week high.
However this upside in Sterling was capped as the UK reported its largest, single day rise in coronavirus deaths.
GBP investors are likely to keep a close eye on coronavirus developments in the UK, with the rising number of deaths potentially pushing the government to introduce stricter restrictions.
Euro (EUR) Tumbles on Coronavirus Uncertainty
The Euro (EUR) fell sharply through yesterday’s session, with the single currency taking the brunt of investors’ concerns over the economic impact of the coronavirus.
This was partly due to the Eurozone’s finalised manufacturing PMI, which was revised even lower in March and revealed factories in the bloc are slashing jobs.
Looking ahead, we may see the downtrend in the Euro persist through today’s session unless there appears to have been a notable improvement in the coronavirus situation in Europe.
US Dollar (USD) Climbs amid Coronavirus Uncertainty
The US Dollar (USD) roared higher on Wednesday as the safe-haven currency remained in vogue amid renewed concerns about the coronavirus crisis’ impact on the global economy.
Further buoying the appeal of the ‘Greenback’ was the latest ISM manufacturing PMI, which reported US factory activity was more robust than expected in March.
Centre stage today will be the publication of US initial jobless claims, which could put significant pressure on the US Dollar as economists forecast an even greater number of unemployment claims than the previous week’s record-breaking figure.
Canadian Dollar (CAD) Undermined by Weak Oil Prices, Disappointing PMI
The Canadian Dollar (CAD) extended its downtrend into another session yesterday, with the commodity-linked ‘Loonie’ sliding amid another dip in oil prices as well as a record drop in Canada’s manufacturing PMI last month.
Australian Dollar (AUD) Slumps in Prevailing Risk-Off Trade
The Australian Dollar (AUD) fell sharply on Wednesday as a prevailing risk-off mood saw investors largely shun the ‘Aussie’.
New Zealand Dollar (NZD) Weakened by Coronavirus Anxiety
The New Zealand Dollar (NZD) also stumbled yesterday, with concerns over the economic damage of the coronavirus limiting the appeal of the risk-sensitive ‘Kiwi’.