US Dollar Index Takes a Breather During Move Lower

US dollar hovering just off lows in the Asia-Pac session, regaining a very limited amount of poise. DXY last at 90.697, just above lows of 90.50 at the end of the European session.

• Bipartisan efforts to reach a deal on US stimulus has led to some optimism around a deal being reached soon. While Democrats and Republicans disagree on the broader total size of stimulus moving into the future, both parties have acknowledged the necessity for a relief package.
• In an interview earlier US President elect Biden said the proposed $900bn package is a good start and expects it to be passed. There was some vague market chatter earlier, which concurs with previous rumours, that US Senate leader McConnell heartened by the Democrats supporting a smaller fiscal package.
• Market looks ahead to US NFP data in the US session after initial jobless claims dropped off, but ADP employment data missed expectations earlier in the week.