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The euro to the highest in eleven weeks against the dollar

The euro progressed again this Tuesday against the dollar, for the sixth consecutive day, in a market still prone to risk while the déconfinement continues ever

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The euro to the highest in eleven weeks against the dollar

The euro progressed again this Tuesday against the dollar, for the sixth consecutive day, in a market still prone to risk while the déconfinement continues everywhere in the world.

read also : Trade: the good surprises of the déconfinement

Around 19: 00 GMT (20: 00 in Paris), the euro was 0.33 per cent against the greenback, to 1,1173 dollar. It is mounted up to 1,1196 dollar earlier in the session, a level not seen since mid-march. "The dollar continues to weaken, pushing the dollar index (a measure of the greenback against major currencies) to the lowest level since mid-march", note the analysts from Scotiabank. "Investors remain optimistic about the prospects for the global economy, while the measures of progressive reopening combined with signs of economic stabilisation in the world," they add. The greenback is generally regarded as a safe haven, it tends to rise in times of uncertainty, and to depreciate when optimism dominates the markets. "Until now, further note the analysts from Scotiabank, investors do not seem to be concerned about the social unrest in the United States, whether their impact on the normalization of the economy or on domestic policy."

The american situation looked

To Ulrich Leuchtmann of Commerzbank, however, the protests that have shaken the United States and have sometimes turned to the riot pose the question as to "whether the economic model in the us is sustainable or if the degree of inequality reached is such that it will no longer operate this way". The american president Donald Trump has threatened on Monday to deploy the army to stop the violence in an America plagued by a sudden wave of anger history. "Night after night, the images of violent protests could mean that one of the conditions necessary for being a safe-haven currency was able to be broken," said Ulrich Leuchtmann.

read also : the Death of George Floyd: Trump presents himself as the "president of the law and the order"

About the european currency, the meeting of the european central Bank will take place on Thursday, and analysts are waiting to see if the institution will decide to increase its asset purchase program. A hypothesis up to now preferred by analysts even if "some doubts have been raised," said Lee Hardman.

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