Sterling holds with Brexit talks in focus
The British Pound held against the US dollar on Tuesday, amid focus on the Brexit talks.
A British official said that the door is still open to a trade deal with the European Union.
While several EU officials also expressed optimism about a trade deal with London, and called for more negotiations.
The British Prime Minister Boris Johnson said on Friday that the trade talks with the EU have ended and without any change in the European position, weeks ahead of the talks deadline.
Johnson ordered his cabinet members to prepare for a no-deal Brexit scenario, but sources told Bloomberg that Johnson might face pressure from the parliament to reconsider the controversial internal market law, which may rejuvenate the talks with Brussels.
GBP/USD held at 1.2941 as of 21:22 GMT, the pair hit an intraday high of 1.2979 and a low of 1.2911.
The British pound fell against the US dollar on Thursday, despite progress in the EU-UK Brexit talks. Sterling was weighed down as the coronavirus crisis continued to escalate, after a spike of infections in some European countries, in many countries around the world, especially in Europe. To curb the coronavirus spread, the French government announced yesterday a full lockdown starting Friday for a month, and the German government ordered to close bars, theaters, and restaurants, from November 2 until the end of the month. Bloomberg reported sources saying that progress has been made in the Brexit negotiations between London and Brussels, which raised hopes that a trade deal can be secured by November. GBP/USD fell 0.4% to 1.2934 as of 20:57 GMT, the pair hit an intraday high of 1.3026 and a low of 1.2881.
Euro fell on Tuesday for the third session against dollar, marking six-week lows on concerns of low dollar liquidity amid a massive global stock selloff. EUR/USD fell 0.4% to 1.1720, the lowest since August 12, after closing down 0.6% yesterday, the largest loss since August 19. The dollar index rose 0.4% on Tuesday for the third session, marking 1-1/5 month highs at 93.89. Concerns over the global economy are surging anew as Covid infections rise back in the US and Europe, in turning hurting the dollar's appeal as a safe haven. A delay in US fiscal and monetary stimulus also hurt global stocks and hammered many other assets in commodities and metals as investors seek to ensure liquidity.
The British pound rose against the US dollar on Friday, amid optimism about the coronavirus vaccines, despite uncertainty about the US presidential election. Edison Research Agency projected that Democratic candidate Joe Biden has won about 306 of the electoral college votes, while his Republican rival Donald Trump won 232 of the votes. This came after a decision for a full hand recount of the votes in Georgia and Trump filed another lawsuit for a recount in Pennsylvania. The American company Pfizer announced that its vaccine was more than 90% effective in preventing the coronavirus. but doubts began to arise about the need to using it under certain conditions. As of 21:17 GMT, GBP/USD rose 0.6% to 1.3197, after hitting a high of 1.3197, and a low of 1.3110.