The Australian Dollar, Yuan and Yen, and the Market

The Australian dollar in the previous session hit a 3-1/2 month low of $0.67355. Now the Australian Currency fetched $0.6751.

On Wednesday, the euro touched a two-month low of $1.0992 in United States trade. Nevertheless, yesterday it stood at $1.1009.

On Monday, the offshore yuan touched a one-month low of 6.9900. Yesterday the Chinese currency was trading at 6.9730 yuan per dollar.

Ahead of the Bank of England’s policy decision later in the day sterling traded unchanged at $1.3016.

Nevertheless, expectations of a rate cut have substantially dropped after last week’s robust data, and they will remain almost 50%. It suggests that rate decisions will most likely move the pound whichever way the BoE will go.

On Wednesday, the European Parliament gave final approval to Britain’s divorce from the European Union. It paved the way for the country to quit the bloc on Friday after nearly half a century, delivering a significant setback for European integration.

Australian Dollar and Swiss Franc

The yen traded per dollar at 109.06 yen. Thus, it gained 0.14% the previous day. The Japanese currency, this month, was down against dollar 0.3%.

The Swiss franc changed hands at 0.9729 francs per dollar.

The Australian Currency fetched $0.6751.

Minori Uchida is a chief analyst at MUFG Bank. He said that the overall market is neither clear-cut risk-off nor risk-on. Minori Uchida adds that the dollar, the yen, and the Swiss franc in the currency market are favored now.

Among G10 currencies so far this month, the dollar is the best performing currency.

The new pneumonia-like disease is spreading quickly across China. For many of its trade partners in Asia and Europe, the dollar appears as an ultimate safe-haven destination.

On Wednesday, as expected, the Federal Reserve kept interest rates on hold. The United States Federal Reserve cited the virus as a source of uncertainty for the economic outlook.

It is the leading news on the market.