EUR/USD: Up to coronavirus

EUR/USD has been on the rise amid hopes for a cure for coronavirus and hopes for reopening the US economy but stubbornly high COVID-19 statistics may trigger safe-haven flows to the dollar, FXStreet’s analyst Yohay Elam reports.

Key quotes

“Trump changed tack and said that it is up to governors to decide when and how to remove stay at home orders. The calmer approach and growing hopes that the worst has passed also weigh on the greenback.”

“Percentage-wise, growth rates in mortalities and cases remain in the low single digits in Europe's most significant countries. However, absolute numbers remain stubbornly high.” 

“Another factor that is weighing and may continue pushing the common currency lower is the lack of unity within the eurozone. After reaching a compromise on a European aid package, the continent remains divided on coronabonds.”