Euro hovers near four-month peak as market looks to EU summit

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The euro hovered near four-month highs against the dollar on Monday as investors held on to hopes that European leaders would break a deadlock and hammer out an economic rescue deal as their marathon summit reached a record length.

FILE PHOTO: Rolled Euro banknotes and 3D printed percent models are placed on U.S. Dollar banknotes in this illustration taken May 26, 2020. REUTERS/Dado RuvicEU leaders were at an impasse over a proposed 750 billion euro recovery fund, which is supposed to be raised on behalf of them all on capital markets by the EU’s executive European Commission.

A source said 350 billion euros on grants was the maximum acceptable for the camp of thrifty northerners, compared to 400 billion seen as the bare minimum by many others, including Germany and France. The dollar is broadly weak as investors maintained strong risk appetite, betting on more stimulus not just from Europe but also the United States.A battle in the U.S. Congress over a new coronavirus-aid bill began late last week as Republicans and Democrats pushed for their own agenda.

“We see more political pressure on the Republicans to compromise on Democratic objectives because Republicans are trailing badly in polls... Senate Republicans are not in a position to hold back stimulus,” wrote Steven Englander, head of global FX strategy at Standard Chartered Bank New York branch in a report.

 

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With the chaos in the US by the MAGA GOP failures, it only makes sense that the Euro would become relatively stronger. Wear a mask. Vote. Care for all. =

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Euro hovers near four-month peak as market looks to EU summitThe euro hovered near four-month highs against the dollar on Monday as investors held on to hopes that European leaders would break a deadlock and hammer out an economic rescue deal as their marathon summit reached a record length. Investors hold on to hopes that European leaders would break the deadlock. Who doesn't need cash.?😷 Duh
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