XE Market Analysis: North America – Jan 22, 2021

The dollar has traded mostly firmer up on a safe haven bid with the reflation trade having come to a firm stop. The DXY dollar index lifted moderately to a 90.26 high after basing out at a nine-day low at 90.05. The greenback still lost ground to the euro, which outperformed as market participants continued to adjust to the less dovish than anticipated ECB policy statement of yesterday. EUR-USD pegged a nine-day high at 1.2190, and the common currency racked up gains of 0.7% against the pound and nearly 1% in the case versus the underperforming Australian dollar.