Dollar Climbs On U.S. Economic Stimulus Hopes
March 10 2020 - 12:08AM
RTTF2
The U.S. dollar appreciated against its major counterparts on
Tuesday, amid rising hopes for economic stimulus from Trump
administration and a recovery in Treasury yields.
U.S. President Donald Trump said on Monday that he is
considering a "substantial" coronavirus economic stimulus package
to support the economy.
Trump has scheduled a news conference later on Tuesday to lay
out economic stimulus plans in response to the coronavirus
outbreak.
Trump said that he would hold a meeting with Senate and House
Republicans to discuss a payroll tax cut or relief.
Asked about the danger of a U.S. recession, Treasury Secretary
Steven Mnuchin said the U.S. economy is resilient.
"This is not like the financial crisis where we don't know the
end is in sight," Mnuchin said. "This is about providing proper
tools and liquidity to get through the next few months."
The greenback strengthened to 4-day highs of 1.3017 versus the
pound and 1.1332 versus the euro, from its early lows of 1.3129 and
1.1458, respectively. Next key resistance for the greenback is seen
around 1.27 versus the pound and 1.12 versus the euro.
Reversing from its early lows of 0.9240 against the franc and
102.00 against the yen, the greenback moved up to 4-day highs of
0.9374 and 105.01, respectively. Immediate resistance for the
greenback is likely located around 0.96 against the franc and
106.00 against the yen.
The greenback rose to 0.6544 against the aussie and 0.6286
against the kiwi, recovering from its previous lows of 0.6613 and
0.6359, respectively. If the currency rises further, 0.63 and 0.61
are possibly seen as its next resistance levels against the aussie
and the kiwi, respectively.
In contrast, the greenback dropped to 1.3609 against the loonie,
from an early high of 1.3708. The next possible support for the
greenback is seen around the 1.35 level.
Looking ahead, Eurozone final GDP and employment data for the
fourth quarter are due out in the European session.
AUD vs US Dollar (FX:AUDUSD)
Forex Chart
From Mar 2024 to Apr 2024
AUD vs US Dollar (FX:AUDUSD)
Forex Chart
From Apr 2023 to Apr 2024
