USD 'Rested' After Soaring, What About Other Currencies? - - Financial Market Media No. 1 in the World USD 'Rested' After Soaring, What About Other Currencies? USD 'Rested' After Soaring, What About Other Currencies?

August 9, 2021

USD 'Rested' After Soaring, What About Other Currencies?

 The US dollar eased slightly in gains recorded following strong jobs data last week, but still traded stronger than its main rivals.

The US dollar traded stronger against the euro which traded weaker around 1.17560, extending gains on Friday as a strong US jobs report boosted market expectations for a faster tightening of monetary policy by the Federal Reserve (Fed).

However, investors also continue to assess the uncertainty that arises amid a resurgence of covid cases around the world will impact the Fed’s future decision.

At the same time, the market focus is also on the development of the US infrastructure plan. The U.S. Senate is reportedly getting closer to approving a $ 1 trillion bipartisan infrastructure bill that will go through a vote in the House of Representatives at a later stage.

This optimism caused the US dollar to pause from recording gains, but it was not strong enough to push the king of the currency back from a two -week high against most major currencies.

The pound is under pressure following political uncertainty in the UK, where Prime Minister Boris Johnson reportedly threatened to remove Finance Minister Rishi Sunak from office over the weekend following the issue of a leaked letter of easing travel restrictions.

On the other hand, the Aussie and New Zealand dollars continued to trade lower against the strong greenback dollar, amid growing concerns over the growing Covid-19 case.