Dollar rises ahead of U.S. presidential debate, Aussie and Kiwi firm

The dollar rose on Tuesday, on course for two-month highs, as markets awaited the first debate between the U.S. presidential candidates, progress in U.S. fiscal stimulus talks, and economic data on German inflation.

After hitting its biggest weekly gains since April last week when the markets sought safe havens, the dollar fell on Monday and resumed gains on Tuesday ahead of the presidential debates. 

The dollar index rose 0.1% to 94.265. It steadied in Asian trade but perked up in European session.

Risk currencies firmed with the kiwi steadying at 0.656 on the dollar and the Aussie up 0.2% to $0.70845.

Meanwhile, policymakers at the European Central Bank were reported to have differing opinions on how to direct Europe’s economy through a second coronavirus wave.

The yen steadied at 105.580 against the dollar. The euro climbed 0.1% to $1.16745. The Swiss franc steadied against the euro at 1.0786.