⁍ The U.S. dollar slipped on Tuesday as investors took some profits after the previous session’s gains.

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⁍ The greenback fell against the currencies that benefit mostly from higher risk appetite such as the euro, sterling, and commodity-linked currencies rose.

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⁍ Monday saw the steepest stock market sell-off in a month and a bond rally, but foreign exchange market activity has remained relatively muted.

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– The dollar took a hit on Tuesday as investors took profits after the previous day’s big gains. The euro was up 0.2% at $1.1826, while the dollar index, which measures the greenback against a basket of major currencies, was down 0.3% at 92.92, reports Reuters. “The uncertainty in the economic outlook has not changed one bit,’ said senior market analyst at OANDA in New York, but noted that some positive stories on the US earnings front. “Markets are becoming more convinced a blue wave is happening,’ Moya said, referring to a victory of the Democratic Party in the Senate, House of Representatives, and the White House in next Tuesday’s election. “The prospects of a Biden administration is probably more positive for the fight against COVID,” he added. Polls give Democrat Joe Biden a solid lead, but the contest is much tighter in battleground states that could decide the outcome. That said, analysts warned investors were clearly cautious after the United States, Russia, and France all hit new daily records for COVID-19 infections. They said prices were not moving much because of a reluctance to build positions before the US presidential election on Nov. 3.