The euro traded higher on Wednesday despite the release of dull economic data showing that eurozone industrial production recorded the sharpest monthly decline.

At press time, the EURUSD pair traded higher at 1.0855, while the highest level recorded during the session was at 1.0859.

Movements this week are showing high volatility amid uncertainty about the outcome of reopening many global economies after a long period of lockdown.

Some investors are optimistic that the corona crisis could soon come to an end, especially as U Gilead stroked a deal to make remdesivir coronavirus treatment in 127 countries.

On the economic data front, industrial production in the euro zone declined sharply during March, marking the biggest monthly drop ever, as a result of closure measures adopted by EU countries to curb the spread of the coronavirus.

According to the EU statistical office, Eurostat, industrial production slumped 11.3 percent on a monthly basis in March, the largest decline since 1991, while slipped 12.9 percent year-on-year.

Analysts had forecast a 12.1 percent year-on-month decline and a 12.4 percent year-on-year decline.

According to the data, durable consumer goods production fell 26.3 percent in March, and capital goods production edged down 15.9 percent.

Intermediate goods production sagged 11 percent, and energy production plummeted 4 percent in the third month of this year.

Italy, Slovakia and France topped the list of the worst industrial production readings in March, falling by 28.4, 20.3 and 16.4 percent respectively.

The data attributed the negative industrial production performance in March to the repercussions of the strict coronavirus containment and closure restrictions.