USD Continues to Gain Strength Following Uncertainty Sentiment

 Major currencies continued to show declines after being hit by negative news about Johnson & Johnson (J&J) 's Covid-19 vaccine expansion efforts that had to be stopped.


J&J confirmed on Monday that it had to suspend clinical trials for the Covid-19 vaccine after one of the participants was found to have an unexplained illness.


The greenback dollar strengthened during the opening of the European session with trading at 93.20 against a basket of major currencies.


The US dollar gained momentum after being backed by recent tensions between the United States and China rising again after Beijing denounced Washington's move to sell weapons to Taiwan.


Aussie dollar trading continued to record losses following China's report to stop coal imports from Australia amid rising tensions.



In contrast to the Aussie dollar, the kiwi dollar continued to trade high, supported by New Zealand's success in tackling the coronavirus pandemic crisis for the second time.


Meanwhile in Europe, pound trading continued to maintain its position above the 1.3000 price level despite continued pressure from Brexit trade negotiations uncertainty.


The latest data shows the UK unemployment rate soared in the three months to August to 4.5% from 4.1% previously recorded.


The euro, on the other hand, failed to maintain its position by trading below the price of 1.8000 against the US dollar.