The U.S. dollar tumbled from a record high, suffering its worst fall in more than four years, after a California stay-in-place order curbed greenback buying amid fears the world’s largest economy is headed for a recession.
The Bank of Russia bucked a global trend for interest-rate cuts amid the spread of coronavirus by keeping borrowing costs on hold amid a currency slump.
At 04:10 ET (0810 GMT), EUR/USD traded at 1.0777, up 0.8%. The U.S. Dollar Index, which tracks the greenback against a basket of six other currencies, stood at 102.209, down 1.4%, while USD/JPY fell 0.9% to 109.73.
Volatility in financial markets across geographies and asset classes is at record highs as the relentless spread of the coronavirus outbreak threatens to derail global economic growth, analysts at U.S. stock market index operator S&P Global said.
Regulators should use in-built flexibility in financial rules to help banks keep funds flowing to the economy during the coronavirus epidemic, the Financial Stability Board said on Friday.