Euro extends gains to 2-1/5 year high on US stimulus plans

Euro rose in European trade for another session against dollar to 2-1/5 year highs amid for further US financial stimulus. 

EUR/USD rose 0.15% to May 2018 highs, after closing up 1.2% yesterday, the largest profit since March 12 on US stimulus talks. 

The dollar index fell 0.1% on Wednesday for another session to 91.13, an April 2018 low. 

Haven demand on the greenback is fading as sentiment surges and risk appetite improves. 

Sentiment is improving with strong Covid vaccine results and after a new round of stimulus talks in the US. 

Republicans and Democrats in Congress hope they can reach a compromise and a stimulus package worth $908 billion.

Fed Chair Jerome Powell called on Congress to increase financial help to small companies amid the spread of the coronavirus.