The Euro and the Dollar remain pretty much where they started the week in relation to each other, just above the 1.12 level. Through the week there has been some movement, with the greenback rising during moments of greater apprehension and the single currency finding support whenever risk-on prevails. The pair’s performance reflects the mood in the markets, which has been undecided with reasons for both optimism and caution. On one hand economic activity is giving signs of a recovery that may be quicker than some expected – as illustrated by the better than forecasted US employment numbers published yesterday – it’s also true that a resurgence in the number of coronavirus infections hints at the possibility of a second wave hindering the speed of the recovery.
