Growing Coronavirus Anxiety Has Fed’s Cautious About Economic Growth – 7 July, 2020

A spike in U.S. coronavirus cases has helped the dollar hold onto gains as lockdowns are reinforced and investors flock to the safe-haven currency. The dollar gained 0.3% against the Japanese yen, rising to 107.67 yen, and rose 0.3% against the euro to $1.1274. Against the pound, the dollar last traded at $1.2549 and 89.86 pence per euro as Prime Minister Boris Johnson commented on his commitment to a trade agreement between Britain and the European Union, which led the currency to trade just under a three-week high against the greenback. The greenback was steady against the Swiss franc at 0.9429, and the onshore yuan eased slightly to 7.0228. As the U.S. coronavirus infections and deaths rise to the highest in the world, the Federal Reserve are concerned that the growth could harm economic growth and lead people to pinch pennies.