USD index plumbs new 2020 low - Further EUR...>

FOREX: USD index plumbs new 2020 low

- Further EUR strength persisted throughout the Thursday session, with EUR/USD

establishing a clean break above the $1.16 handle. This put further pressure on

the greenback, resulting in the USD index slipping through the COVID-crisis lows

to hit levels not seen since 2018. The ruling out of a payroll tax cut in the

next iteration of the CARES act added weight to the greenback alongside poor

weekly initial jobless claims.

- GBP traded poorly following the latest round of talks between the UK and EU -

which ended with little progress, resulting in both sides issuing a stark

warning that an encompassing deal may not be met ahead of the end of the

transition period. EUR/GBP sits just below late June's multi-month high.

- PMI data takes focus headed into the final session of the week, with prelim

July PMIs due from Australia, the Eurozone, UK and the US. US new home sales and

UK retail sales figures also cross.

- The Russian central bank rate decision is also due, with the bank seen cutting

rates by 50bps to 4.00%.