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EUR/USD has edged lower in early........>

EURO-DOLLAR
EURO-DOLLAR: EUR/USD has edged lower in early Asia-Pac trade, retracing part of
Friday's rebound driven by softer than expected U.S. flash PMI readings. The
Covid-19 outbreak has taken the centre stage, with Italy reporting 3 fatalities
and a surge in locally confirmed cases to 140. The numbers prompted Italy to
cancel all public events in Milan & Venice, including the iconic carnival, while
Austria temporarily suspended inbound trains from Italy. Threats to global
economy from the ongoing epidemic have been highlighted in off'l communique from
the G20 financial summit. Speaking on the sidelines of the event, ECB's Visco &
Villeroy noted that the response to the epidemic should involve fiscal measures.
- Outside of the coronavirus news flow, German CDU party scored its worst-ever
result in Hamburg state election, amid a prolonged intra-party crisis in the
midst of a renewed search for C'llr Merkel's successor as CDU leader.
- The rate sits at $1.0826, 21 pips worse off. A dip through the $1.0800 mark
would return the focus to the Feb 20 multi-year low of $1.0778. A jump above
Friday's peak at $1.0864 would expose a 23.6% Fibo retracement at $1.0887.
- German Ifo survey is the main point of note on the EZ docket today.

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