By Gina Lee
Investing.com – The dollar rose in Asia on Wednesday morning, and investors turned to safe haven as the number of COVID-19 cases grew steadily.
Investor sentiment was further dampened by warnings from several Fed officials that the increasing number of cases could jeopardize the economic recovery. Some central bank stimulus packages will soon expire.
"Sentiment is changing day by day, but the dollar appears to be supported for the time being as investors become more cautious about the virus," Yukio Ishizuki, foreign exchange strategist at Daiwa Securities, told Reuters.
"The Fed's comments on the economy sound grim. There is cause for concern as it is difficult to tell when the virus will be brought under control."
The greenback versus a basket of other currencies rose 0.06% to 96.895 to 00:09 a.m. ET (5:09 a.m.GMT). The pair rose 0.09% to 107.60.
The pair lost 0.08% to 0.6941. The AUD hit after the country's second largest city, Melbourne, reintroduced blocking measures to curb the outbreak.
The pair fell 0.07% to 0.6542.
The pair rose 0.09% to 7.0188, with the yuan scoring after the People's Bank of China set a lower-than-expected daily center for the yuan.
The pair gained 0.14% to 1.2557. The pound was strengthened by Prime Minister Boris Johnson's renewed commitment to a trade agreement with the European Union.
Investors' skepticism persisted alongside the risk that the deal would not materialize.
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