US Treasury Sec. Mnuchin: Fed and Treasury working to provide “unlimited liquidity”

Eren Sengezer FXStreet

"Negotiations on House coronavirus bill are going very well," US Treasury Secretary Mnuchin told CNBC on Friday and added that the bill would allow uninsured people to get tested for COVID 19.

Additional takeaways

"Treasury looking at using its authorities to address coronavirus impact."

"US banks should feel free to draw from Fed discount window."

"Fed and Treasury are working to provide unlimited liquidity."

"Circuit breakers work, markets are working orderly."

"We intend to do everything we can to keep markets open."

"Coronavirus will not prevent tax cuts from paying for themselves over a 10-year period."

Risk flows continue to dominate markets

As of writing, the 10-year US Treasury bond yield was up 17.5% on the day at 0.933%.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.