While The Market Is Still Awaiting Results, The Currency Continues To Weak

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 The US dollar continued to extend its decline from the one-month high it reached on Monday as markets continued to await the latest developments in election results in several major states still in the process of counting the votes.


Biden's victories in major states, Michigan and Wisconsin have paved the way for him to step up to a victory that requires only 6 more electoral votes.


However, Democrats may fail to gain power in Congress as Republicans are seen to be increasingly inclined to dominate the Senate. This certainly makes it difficult to implement the larger stimulus measures that Democrats have been wanting for so long.


Investors are also likely to remain cautious following the uncertainty of President Donald Trump who will certainly oppose if Biden wins this election.


In fact, he has filed a motion to stop the counting process in Georgia and Pennsylvania as well as recount the votes in Michigan and Wisconsin.



Meanwhile, the weakness of the US dollar has taken advantage of most major currencies, with the euro rising higher as the market expects Joe Biden to win.


As for commodity currencies, the Aussie dollar, the kiwi dollar and the loonie also made gains, with the Aussie dollar trading around a 3-week high against the US dollar at 0.7190.


Also on the market today is the FOMC policy meeting, where the Federal Reserve (Fed) is expected to keep interest rates unchanged.

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