Dollar Firms as China Tensions Weigh

Sari Holtz

Despite the new guidelines, the CDC warned that some distancing measures may be required until a treatment for COVID-19 or a vaccine is developed and becomes available to the masses.

The U.S. dollar recovered some of this week's losses during Thursday's Asian trading session as lingering tensions between the United States and USD recoversChina decreased optimism and sent traders flocking to the safe-haven currency. On Wednesday, U.S. President Donald Trump tweeted that China disseminated a "massive disinformation campaign" in order to "rip off the United States." He also claimed that China was trying to harm his re-election chances. The dollar firmed 0.2 percent against the onshore yuan to trade at 7.1031 in early Thursday trade. The greenback was up -.24 percent against a basket of its primary trading partners, bringing the dollar index to 99.36 .DXY as of 1:21 p.m. HK/SIN.

The pound was under pressure during Thursday's Asian session, down 0.343 percent against the dollar to $1.22. The pound also touched a two-week low of 89.88 against the euro during morning trade. The euro was also floundering, trading down 0.2 percent to $1.096. The Australian dollar fell 0.515 percent against the greenback to $0.656.

Trade tensions have also risen between China and Australia, long known as one of China's most important trade partners, as Australia has been publicly pushing for an inquiry into China's role in the handling of the coronavirus pandemic.

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CDC Offers Reopening Guidelines

The CDC released reopening guidelines quietly on its website this week in a 60-page document outlining guidance for reopening schools, mass transit and non-essential businesses. The plan includes a three-phased approach that will reduce social distancing. Under the plan, some areas will move quicker through the process than others as they hit certain milestones. Despite the new guidelines, the CDC warned that some distancing measures may be required until a treatment for COVID-19 or a vaccine is developed and becomes available to the masses.

The plan called for keeping schools and food establishments closed, though drive-thrus and delivery options will be permitted, as will day care or school options for children of essential workers.

The plan was met with optimism by some who sense that the reopening of the American economy is heading in the right direction. Others, including many teachers, were concerned that the guidelines were too difficult to implement and would never be possible in the real world. Some examples include no sharing of school supplies and one-way hallways within school buildings, which sound like a great way to keep students separate, but would be highly impractical in many schools. Canceling of all school trips and students sitting one to a row on buses are also among the difficult points for parents, school employees, and the transportation system.

About the Author
Sari Holtz

Sari Holtz began working at DailyForex in 2011 when she was hired to provide daily news analysis and to manage the daily content. Since then, she has continued to provide regular news items that focus on how political events impact the global economy. She also works directly with dozens of Forex brokers worldwide to ensure that they get their messages across and that traders can find the best broker for their individual needs.

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