Will the Dollar improve further against Sterling and the Euro?
The US Dollar has been gaining vs both the Pound and the Euro since the start of the month.
Oil prices have risen dramatically recently and as oil is priced in US Dollars this can often lead to the currency strengthening.
The tensions are escalating between Israel and Gaza which are likely to increase in the short term.
This will cause further instability in the Middle East which could impact upon oil supplies.
Geopolitical uncertainty will also often lead to the Dollar strengthening at the moment.
This was evident at the start of the pandemic with the US Dollar hitting its highest levels in history.
The USDEUR and USDGBP traded at their highest levels at the point when the UK was heading into lockdown.
Inflation falling globally
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