The euro dropped slightly after nearing multi-month highs against rival majors in Asian Market opening trades today, on expectations the European Central Bank will expand its bond buying program later in the day to shore up the coronavirus-stricken economy. The euro\'s strength helped to push the dollar\'s index against a basket of key currencies to the lowest level in nearly three months The Chinese yuan took a breather yesterday after strengthening against the dollar for four straight days, the longest winning streak since mid-January, as companies scooped up dollars to meet seasonal payments. The yuan\'s recent strength prompted corporates to buy dollars for dividend payments and such demand wiped out gains made earlier in the session. In the short term, the yuan is likely to maintain rangebound trading, chances for both sharp gains and depreciations are limited. Meantime, the global stock rally powered by investor optimism for a speedy economic recovery from the pandemic paused today. The dollar recouped some of the losses that pushed it to the weakest since early March. In currencies today, the yen was little changed at 108.91 per dollar. The offshore yuan held at 7.1249 per dollar. The euro bought $1.1216, down 0.1% while the pound sterling too dropped 0.27% to trade at $1.2538 The Indian Rupee opened weaker with a gap of 15 paise at 75.61/62 against its previous session’s close of 75.46/47 and is expected to trade in a range between 75.30 – 75.80 today.
Available to subscribers only!
