EUR/USD: The US support bill could push the dollar higher
|US politicians' stance and the dire situation in Europe with the prospects of further economic strain may weigh heavily on the euro, according to Yohay Elam from FXStreet.
Key quotes
“The latest factor depressing investors is the disagreement in Washington. Democrats have refused to support Republicans' support bill to companies as it consists of a few strains attached.”
“Every politician on Capitol Hill would want to be seen as outdoing their colleagues. The final sum could be huge. That would mean more funding needed, and could thus put selling pressure on bonds, pushing yields higher and carrying the dollar with it.”
“Coronavirus is taking a heavy toll on Europe. The worst is yet to come – both in the virus's human toll and its economic one.”
“Additional reports from the old continent will likely rock markets. Eurostat's Consumer Confidence survey for March is set to drop.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.