US DOLLAR STRENGTHENS RIGHT AFTER US CONGRESS AGREES TO SUPPORT NEW STIMULUS PACKAGE

21.12.2020

21st Dec. - Ahead of the Christmas celebrations which will be celebrated on December 24 this Thursday, the weak US Dollar over the past few weeks is now entering a new phase. News of the agreement of all parties to agree to support an additional $ 900 billion Dollar stimulus package gives new life to the ‘green back’ currency.

If you look at some major pairs such as GBP / USD, EUR / USD, AUD / USD and NZD / USD, the gap occurred during the market opening this week.

The GBP / USD pair traded at around 1.3600 last week, down to 1.335 today. The same goes for the EUR / USD pair which traded at 1.22600 last week but dropped to 1.21800 today.

The NZD / USD pair also saw a significant decline and is now at 0.70800 compared to 0.71500 last week.

We expect the US Dollar to continue to strengthen until the end of 2020.