Euro Falls to New 5-Day Lows on Record Spanish COVID-19 Deaths

The  euro today fell against the  US dollar as  deaths from the  coronavirus in  Spain reached new highs even as  other European countries battle the  disease. The  EUR/USD currency pair today fell amid high demand for  the  dollar and  the  rising tensions in  the  European Union as  Germany and  Holland refuse to  support Southern states.
The  EUR/USD currency pair today fell from a  high of  1.0964 in  the  late Asian session to  a  low of  1.0823 in  the  American session and  was near these lows at  the  time of  writing.
The  currency pair today fell for  the  fourth straight session eroding over 61% of  the  gains it had made since bottoming on  23rd March. The  pair’s decline was further fueled by  the  disagreement among European finance ministers on  a  bailout package for  the  poorer countries in  the  EU. The  release of  downbeat European producer price index data for  March by  Eurostat added to  the  pair’s woes; the  PPI print came in  at-0.6% versus the  expected -0.2%.
Some analysts are predicting that the  COVID-19 pandemic could break up the  European Union as  the  more prosperous countries fail to  help struggling economies. Investors are waiting to  see if the  Eurogroup shall reach an  agreement on  7th April.
The  pair kept falling despite US initial jobless claims data coming in  at  6.6 million, exceeding initial estimates. The  US Dollar Index‘s rally to  a  high of  100.42 also drove the  pair lower.
The  currency pair’s future performance is likely to  be affected by  tomorrow’s US non-farm payrolls report.
The  EUR/USD currency pair was trading at  1.0838 as  at  18:55 GMT, having dropped from a  high of  1.0964. The  EUR/JPY currency pair was trading at  116.92 having fallen from a  high of   117.72.

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