Mnuchin News Gives Markets Jitters

Barbara Zigah

Federal Reserve bankThe US Dollar briefly reversed course after Steve Mnuchin, the Secretary of the US Treasury, announced that the Federal Reserve Bank would return funds intended specifically for loans to various entities impacted by the Coronavirus. Analysts point out that, despite the intention to re-appropriate funds meant for CARES Act recipients, some market players worried that the moved signaled a move to end federal programs which were viewed as vital toward reassuring market participants. The concern now is that the unavailability of the loans in the event of another emergency could put additional pressure on an already jittery market.

In Tokyo trading at 9:22 am, the EUR/USD was trading at $1.1874, a gain of 0.0623%; the pair has ranged from a low of $1.18648 to a high of $1.18808. The GBP/USD was also higher at $1.3259, up 0.0589% and off the session peak of $1.32689. The AUD/USD was up at $0.7285, a gain of 0.1512% while the NZD/USD was higher at $0.6917, up 0.01274%.

Pound Weighed by No-Deal Brexit Risk

The British Pound came under pressure after the media reported that various leaders in Europe are urging the European Commission to publish the details for a no-deal Brexit. The UK government and the EU leadership have until the end of the year to sign off on an agreement; analysts point out that a number of sticking points remain as leadership seems not to be able to find common ground.. The EUR/GBP was slightly higher at 0.8957 Pence; in today's trading, the pair has ranged from 0.89441 Pence to 0.89689 Pence.

Barbara Zigah

After working on Wall Street, Barb began her second career as a freelance writer at Daily Forex, where the CEO recognized fresh, untapped potential and was willing to give her a try. She’s never looked back. Since then, she’s worked steadily as a freelance writer and editor in the financial services and Forex-related industry.

Did you like what you read? Let us know what you think!

exclamation mark

Please make sure your comments are appropriate and that they do not promote services or products, political parties, campaign material or ballot propositions. Comments that contain abusive, vulgar, offensive, threatening or harassing language, or personal attacks of any kind will be deleted. Comments including inappropriate will also be removed.

0 User comments

exclamation mark

Please make sure your comments are appropriate and that they do not promote services or products, political parties, campaign material or ballot propositions. Comments that contain abusive, vulgar, offensive, threatening or harassing language, or personal attacks of any kind will be deleted. Comments including inappropriate will also be removed.

Read more
Add new comment
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.