The U.S. dollar exhibited strength against other major currencies on Monday, amid concerns about a potential second wave of coronavirus infection as countries across the world prepare to gradually reopen their economies.
Reports from China and South Korea about new cases of the virus infection, and data from Germany’s public health agency that indicated coronavirus cases in the country are once again on the rise following recent steps to ease lockdown measures have added to concerns about the potential risks involved in hasty reopening of businesses.
Wuhan has reported its first cluster of new Covid-19 cases since lifting its lockdown measures, sparking fears that easing restrictions could give way to a second wave of infections.
According to reports, France started to ease restrictions. However, it is learnt that stricter lockdown rules will still apply in Paris and three northeastern regions where the coronavirus is reportedly not in control.
British Prime Minister Boris Johnson is scheduled to give details on reopening the economy later today.
The dollar index advanced to 100.28, and was last seen at 100.19, up nearly 0.5%.
Against the Euro, the dollar firmed up to $1.0816, gaining about 0.2%, from $1.0837.
Against Pound Sterling, the dollar strengthened to $1.2337, rising more than 0.5% from Friday’s $1.2438.
The Japanese Yen was weaker by nearly 1% at 107.65 a dollar, off Friday’s close of 106.63 yen a dollar.
The Aussie shed about 0.6%, at $0.6487.
The dollar was stronger against Swiss franc with a unit fetching CHF 0.9732, compared with CHF 0.9713 on Friday.
It was stronger against the loonie as well, gaining nearly 0.6% at C$1.4008.