Fundamental Comment

Euro takes advantage of dollar's drop, corona updates in focus

Euro takes advantage of dollar's drop, corona updates in focus

The euro rose in today's trading against its US counterpart, to record its highest level in 3 weeks, amid a state of increasing panic that overshadowed the global markets since the beginning of the week, due to the rapid spread of the corona virus outside the borders of China.

As of 11:19 GMT, the euro traded higher at 1.1029, while the pair opened the session today at 1.0999. It is worth mentioning that the highest level reached by the euro-dollar in today's trading was at 1.1052, the highest in three weeks.

Regarding economic data, the total German unemployment fell unexpectedly during the month of February, as the Labor Office announced today that the number of people unemployed decreased by 10,000 to 2.262 million, while the unemployment rate stabilized at 5.0 percent.

It should be noted that these data largely indicate the strength of the labor market in the German economy, which should drive growth during the coming period.

In fact, the euro took advantage of the sharp fall in the US dollar, which failed to continue acting as a safe haven and faced the same fate of risky assets, most notably stocks.

The latest statements continued to report a marked increase in the number of infected people inside and outside China, as the number of corona cases in China has reached more than 78,000, while the number of deaths exceeds 2300 people.

The matter is also getting more difficult with the announcement by the United States of America the increase in the number of those infected in California to 33, which affected the American stock market yesterday with the sharp decline in its key benchmarks.

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