On Thursday, the 2nd of January 2020, the US Dollar index (DXY) measured against a basket of six major currencies had been picked up from a six-month low, snapping a losing streak of six sessions, as investors seemed to be back from a US Dollar sell-off mood at the year’s first trading day.
In point of data, Thursday’s (January 2nd) gains of US Dollar index was almost entirely galvanized by a rolling back of risk appetites following dismal economic data from Germany and UK, while Thursday’s (January 2nd) US Dollar gain appeared to have broken off a December trend for the US Dollar, while it remained almost dithered amid an ease of China trade tension alongside prospects of global growth following upbeat data from both China and a majority of Eurozone economies.
Meanwhile, referring to bleak German and UK data that weighed on euro and sterling respectively, a global interest rates and currencies strategist at Macquarie Group, Thierry Wizman said, “The trend of the weaker dollar that we saw generally in December seems to have broken down a bit today.
Data in the UK and Europe really just weren’t impressive and so you’ve got this return of concerns that 2020 may not be as good for growth on the continent and in the UK as people were surmising as recently as a few weeks ago. ”