By Yasin Ebrahim
Investing.com – The dollar fell from highs Thursday as signs that former Vice President Joe Biden’s bid for the White House is gathering pace resumed concerns about a hike in spending from Democrats, though the fading prospect of a blue wave kept losses in check.
The , which measures the greenback against a trade-weighted basket of six major currencies, fell by 0.14% to 93.43, but had been as high as 94.32.
President Donald Trump’s path to remain in the White House has suffered a blow after former vice president Joe Biden increased his lead over the president following a win in Wisconsin.
Biden leads Trump 248-213, with 270 needed to emerge victorious.
Deutsche Bank (DE:) shifted to a neutral dollar on election uncertainty following earlier results showed Trump was in the lead.
The recent weakness in the dollar was led by bets the greenback would weaken on a blue wave – Democrats taking both the White House and Congress – that would have added to debt levels, increasing the deficit and likely weighing on the world’s reserve currency, Deutsche Bank said. “We no longer see a compelling narrative of dollar weakness into year-end.”
In a blow to hopes of a blue wave, Senator Susan Collins, Republican of Maine, unexpectedly clung onto her seat in Maine, denying Democrats a key senate seat that many expected would be tightly contested.
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