XE Market Analysis: Europe – Jan 11, 2021

The dollar has continued to rise, putting in more distance from the major-trend lows seen against the euro, yen, dollar bloc, and many other currencies a week ago. The U.S. currency has rallied on each trading day since the Georgia runoff elections, when it became clear that the Democrats would control the Senate. This has seen Treasury yields spike and growth expectations rise, given the implication for much greater fiscal spending than would have been the case under a Biden presidency constrained by a split Congress.