The foreign exchange market could be one of the first areas of the financial system to react as election results roll in.
The U.S. dollar was little changed against other global currencies on Tuesday evening as voting began to wind down in the presidential election.
The British pound and the euro were both down less than 0.1% against the greenback, as was the Mexican peso. The Australian dollar showed a slight gain against its U.S. counterpart.
The foreign exchange market could be one of the first areas of the financial system to react as election results roll in. Currencies are more regularly traded during the overnight hours in the U.S. than domestic stocks and bonds.
„Watching the dollar is going to be critical tonight. That will be the most liquid and the most transparent messaging to what we are getting markets to do, because that’s where people can put money to work fast“, said David Zervos, Jefferies chief market strategist on CNBC’s „Money Movers“ on Tuesday.
