European session review: JPY, USD, CHF rise amid increased coronavirus fears and heightened political tensions in U.S.

JPY, USD and CHF appreciated against their major rivals in the European session on Monday as investors looked for safety, as growing COVID-19 cases raised worries about new lockdowns and their implications for global recovery. Increased political tension in the U.S. added to investor concerns.

JPY strengthened against USD and CHF. USD rose slightly against CHF.  

Reports over the weekend revealed rising coronavirus cases in Europe. The World Health Organization (WHO) warned that Europe's weekly cases are now higher than those reported when the pandemic first peaked in March. This triggered worries that new lockdown measures could be imposed to curb a surge in infections.

The political tension in the U.S. heightened, as the death of Supreme Court Justice Ruth Bader Ginsburg triggered sharp divisions between Republican and Democratic lawmakers over her potential replacement. The U.S. president Donald Trump vowed to swear in Ginsburg's successor "without delay". However, two Republican senators, Susan Collins and Lisa Murkowski, stated that they would not confirm Trump’s nominee before the presidential election on November 3. 

Market participants also fear that Trump's intention to move ahead with a new Supreme Court Justice nominee might destroy any chance of a stimulus agreement before the election.