NEW YORK: cost of exchanging euros into dollars in the swaps market rose on Tuesday, with the currency spread hitting its widest since mid-March at the start of the coronavirus pandemic, suggesting increased demand for the greenback going into year-end.

Euro/dollar three-month swaps widened to 36.875 basis points in favor of the dollar.

In other words, investors have to pay around 37 basis points over interbank rates to swap 3-month yen into dollars.