Euro edges lower on report of coronavirus lockdown for France

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The euro fell against the dollar on Wednesday after a media report that France's government is leaning toward reinstating a national lockdown to curb a resurgence in coronavirus infections.

TOKYO - The euro fell against the dollar on Wednesday after a media report that France’s government is leaning toward reinstating a national lockdown to curb a resurgence in coronavirus infections.

Traders are bracing for more volatile trade in currency markets because the coronavirus is spreading rapidly again in Europe, Britain, and the United States, which threatens economic growth. Concern about the U.S. elections is another major risk that will keep currencies on edge. The dollar steadied at 104.50 yen after a 0.4% decline on Tuesday that brought it close to a one-month low.His office did not say what the speech is about, but French media reported on Tuesday that the government is exploring bringing in a national lockdown from midnight on Thursday.

Domestic polls show Democrat rival Joe Biden has a lead over Republican incumbent President Donald Trump, but some investors are sceptical because the polls did not predict Trump’s election four years ago.

 

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