The Dollar is in demand at the start of Monday’s European session with investors looking for a safe haven amidst an escalation in tensions between the US and China. The greenback’s gains result from market anxiety that the trade conflict between the world’s two largest economies may once again take over the international agenda, following allegations from American officials, including the President and Secretary of Defence, that the coronavirus comes from a lab in Wuhan. Donald Trump went as far as to threaten China with retaliatory tariffs, which could trigger a renewing of last year’s trade tensions, compounding the fears of many investors, who are already shell-shocked by the economic impact of the coronavirus, and driving the appetite for refuge assets.
