The Conflict between Hedge Funds and Retails Investors wretched Dollar
- The Dollar sovereignty is at stake.
- Wall Street battle on Hedge Funds and Retails Investor continues.
- Republicans on negotiations with democrats over the Stimulus package.
The Dollar was edged down on Monday morning in Asia with investors are taking caution because of the ongoing war between hedge funds and retails investors.
The burning issue of the U.S. Stimulus package is still on. The continuous discussion between Democrats and Republican about the price tag is being considered by both parties, where Republican lawmakers are persuading for $600 billion rather than $1.9 trillion proposed by Joe Biden
The U.S. Dollar Index was slightly down 0.1% to 90.523.
The USD/JPY hovered at 104.69.
The NZD/USD pair was slightly up 0.15%.
The USD/CNY was slightly high from 0.56% to 6.4610.
The GBP/USD pair was up 0.27% to 1.3735.
The AUD/USD pair inched up 0.11% to 0.7651. Regardless of the weak economic date from China, the Australian dollar changes the position of loss against the U.S. currency. The Reserve bank of Australia is also due to release its policy decision on Tuesday.
Investors are being calculative over the selloff because last year it was 7% and hope for a more favorable percentage this time. There are multiple reasons behind the selloff, an expectation of a Global recovery from Coronavirus, a substantial stimulus bill, and commitments to ultra-easy monetary policy.
Vaccination rollout is moving at a slower pace, not as per the expectation. Resultantly, Investors are moving to safer assets like U.S. currency.