Price of the dollar could fall up to 20% in 2021 due to covid vaccines
“When viable and widely distributed vaccines hit the market, we believe this will catalyze the next decline in the structural downtrend of the US dollar that we expect. Given this setup, there is a possibility that dollar losses will be charged up front, with the dollar potentially falling as much as 20% in 2021,” Citibank told Reuters.
And it is that the currency has been falling due to the advances in the vaccine against the coronavirus and the results of the presidential elections in the United States.
For the director of analysis and strategy of the commission agent Casa de Bolsa, Juan David Ballén, the dollar has already taken into account the progress that has been made with the coronavirus vaccine.
“The dollar has already discounted both the development of a vaccine against Covid-19, as well as logistical and distribution problems. The most important fundamental that you could include in your performance is monetary and fiscal stimulus. The second wave of the covid has caused several economies to close again, which is why it is possible that new stimuli will be given, ”said Ballén.
Recently, the firms Pfizer and Moderna said that their vaccines against covid-19 are more than 90% effective. For their part, Oxford and AstraZeneca announced that their vaccine showed a high degree of immunity in people over 56 years of age, very similar to that shown in people between 18 and 55 years of age.
Of the 48 experimental vaccines against COVID-19 that are currently in clinical trials in humans, only 11 have entered phase 3, the last one before approval by health authorities, according to the World Health Organization.