The start of trading in early November shows that all major currencies continue to trade cautiously ahead of the upcoming US presidential election tomorrow.
The greenback dollar continued to strengthen after ending October trading higher against major currencies, supported by gloomy sentiment following concerns over the surge in Covid-19 cases in Europe and the United States as well as uncertainty ahead of the US presidential election.
The United States recorded the highest number of daily infections at 99,321 on Friday, raising concerns about the growth prospects in the country and the world.
Meanwhile in the UK, the continuing rise in Covid-19 cases has forced Prime Minister Boris Johnson to announce a nationwide closure for the second time in 4 weeks, where all non-essential businesses need to be closed while school sessions continue.
Nevertheless, it is hoped that the Brexit trade talks that will continue today have supported the pound currency from falling lower in the Asian session.
The uncertainty of the US election puts pressure on the euro to continue to trade weakly as well as pressure on expectations that more stimulus will be taken by the European Central Bank (ECB) at its next policy meeting.
Meanwhile, Joe Biden is reportedly still ahead of President Donald Trump in several polls.
On the other hand, the Aussie dollar continued to trade weakly after falling to its lowest level since July at the start of today's Asian session.
