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Dollar slides as market looks ahead to U.S. stimulus; sterling drops
www.reuters.com

Dollar slides as market looks ahead to U.S. stimulus; sterling drops

The dollar fell against most currencies on Monday in choppy trading, as investors looked past the surge in coronavirus cases and ahead to a possible new COVID-19 U.S. stimulus deal and vaccines to fight the virus.

Economy

NEW YORK (Reuters) - The dollar fell against most currencies on Monday in choppy trading, as investors looked past the surge in coronavirus cases and ahead to a possible new COVID-19 U.S. stimulus deal and vaccines to fight the virus.

The U.S. Centers for Disease Control and Prevention (CDC) on Monday reported more than 280,000 deaths.

Sterling, meanwhile, slumped after Britain and the European Union said on Monday conditions for a Brexit trade deal were “not there.”

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White House economic adviser Larry Kudlow on Monday said talks on another round of stimulus funding to deal with the deadly coronavirus pandemic are moving in the right direction, and President Donald Trump’s administration and Congress are getting closer to agreement.

Negotiations on a relief deal gathered momentum in the U.S. Congress on Friday, as a bipartisan group of lawmakers worked to put the finishing touches on a $908 billion stimulus plan.

“The market expects a stimulus deal to eventually arrive along with the vaccine and those are seen as putting the U.S. recovery at a faster and more sustainable path,” said Joe Manimbo, senior market analyst, at Western Union Business Solutions in Washington.”That’s negative for the dollar.”