European session review: USD little changed as investors weigh hopes for quick economic recovery against risk of COVID-19 resurgence

USD traded little changed against its major counterparts in the European session on Wednesday as investors weighed hopes for a quick economic recovery against worries about a resurgence of the coronavirus cases and the return of lockdowns in some countries.

The U.S. currency rose marginally against GBP, NZD and AUD, but edged down against EUR, JPY, CHF and  CAD. The U.S. Dollar Index (DXY), measuring the U.S. currency's value relative to a basket of foreign currencies, inched up 0.04% to 96.92.

According to the Johns Hopkins Center for Systems Science and Engineering, the total number of confirmed global cases of the COVID-19 rose to 11,850,886, with the U.S. recording 2,996,098 coronavirus cases, the most in the world. Growing coronavirus infections triggered a reintroduction of regional lockdown measures in some countries, sparking concerns about the pace of economic recovery.

In addition, several Federal Reserve officials expressed concern about the recent surge in the U.S. COVID-19 cases. Atlanta Fed president Ralph Bostic said on Tuesday that "business leaders are getting worried and consumers are getting worried" with respect to the coronavirus infections in the U.S. "There is a real sense this might go on longer than we have planned for," he added. Meanwhile, the Fed's vice chairman Richard Clarida told CNN International that the fate of the economy is tied to what happens with the coronavirus pandemic and that evidence of an economic rebound in May and June was “very welcome.” He also noted that "there's more that we can do, there's more that we will do" in terms of monetary accommodation if the economic recovery were to stall in the coming weeks.