The greenback dollar continued to trade at a 2-and-a-half-year low at the opening of today's Asian session as investors hope for more US stimulus measures to be launched and the upcoming vaccination process in the UK has boosted market sentiment.
U.S. Treasury Secretary Steven Mnuchin said Wednesday that President Donald Trump will sign a proposed economic stimulus introduced by Senate Majority Leader Mitch McConnell. However, he did not comment further on when Trump would sign it.
Mnuchin also said that he had spoken to the Speaker of the House of Representatives, Nancy Pelosi and stated that there were also some proposals proposed by the Democratic and Republican parties.
In addition, the market also welcomed the news that the UK has approved the use of the Covid-19 vaccine developed by Pfizer-BioNTech and will begin their vaccination as soon as possible early next week.
The euro traded stronger to more than 2 years above the US dollar, driven by optimism that Europe may approve the vaccine soon after the UK, although there are expectations the European Central Bank (ECB) will increase its quantitative easing next week.
The pound, which initially rose following vaccine positive news, fell to a 3-week low after being pressured by uncertainty over Brexit trade negotiations.
The Canadian dollar jumped to a 2-year high against the USD following rising oil prices and the prospect of a coronavirus vaccine that has supported market sentiment.
