US Senate Majority Leader Mitch McConnell on Tuesday blocked a vote on increasing COVID-19 relief payments to $2,000, adding another delay to fractious negotiations over fiscal stimulus. But market sentiment was upbeat as investors remained optimistic that a fiscal stimulus deal will be eventually reached, lessening demand for the safe-haven dollar. The "risk-on" moves in currency markets peaked in the Asian session on Wednesday, then eased off as European markets opened. At 0816 GMT, the dollar was down around 0.1% versus a basket of currencies, at 89.895, having dropped as low as 89.711 overnight. The Australian dollar - seen as a liquid proxy for global risk appetite - was up 0.6% on the day at 0.76475 at 0825 GMT .

Source: Mint December 30, 2020 09:54 UTC