Risk currencies hold steady as investors assess virus fallouts

29.01.2020 - Davydova Maria
Risk currencies hold steady as investors assess virus fallouts

Risk currencies hold steady as investors assess virus fallouts

Risk currencies steadied on Wednesday as investors evaluated the economic damage that resulted from the outbreak of the China virus. Investors banked on hopes that Hong Kong shares will resume trading after the Lunar New Year break.

As countries increase efforts to contain the spread of the deadly new virus, demand for safe-haven currencies such as the Yen and the Swiss Franc have subsided for now.

The Aussie Dollar traded at $0.6758, which held steady ground during the day and above from Tuesday’s three-month low of $0.6737. The offshore Yuan fetched $6.965 flat compared to its weakest on Monday’s 6.9900 per Dollar.

Meanwhile, the Euro stood at $1.1021 after a two-month low of $1.0998 in U.S. trade on Tuesday.

President Xi Jinping said on Tuesday that China was sure of defeating the coronavirus as it spread across other countries.

“The number of patients and death toll is rising day by day, nor do we know when the vaccine will be ready,” said Daisuke Uno, chief strategist at Sumitomo Mitsui Bank.

“Yet, at the very base of market there is underlying optimistic sentiment, limiting risk-off moves,” he said.

Risk disclaimer "PROMETHEUS LTD – Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH96960 is a financial services institution outside the European Union Area, which is subject to the supervision of the IFMRRC Certificate 0395 AA V0155 Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. It is possible to lose all your capital. 70% of trading deals can be unprofitable. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Seek independent advice if necessary. Speculate only with funds that you can afford to lose. This Website may contain information in particular regarding financial services and products that could be regarded b a E.U. supervisory authority as an offer of financial services targeted in Europe. ESMA intervention measures do not apply to customers of PROMETHEUS LTD and it is your responsibility to choose a company which is most suitable for your trading needs. By clicking continue you confirm that you have read, understood and agree to the risk disclosures, terms of service, cash policies, privacy policies and this notice and that you are visiting this website on your own initiative, without any encouragement whatsoever from umarkets.ai or PROMETHEUS LTD." Cookies notification: We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we assume that you are happy with it. Read more. Continue

Help with deposit?