Fears over coronavirus have pushed the pound and dollar down against the euro, with the single currency ending last week strong against both currencies. The eurozone was hit earlier by fears over the virus than the UK, which is potentially helping it to keep a position of relative strength now.
Also helping the euro, German factory orders came in unexpectedly high, reversing the last two months’ negative growth. However, the past year has seen a swing from positive to negative and back to positive, so the markets will not necessarily be banking on this continuing.
