More EU Countries Shelve Astra Jab, Commission Prepares Reopening Plans

EUR/JPY has edged higher and last trades +10 pips at Y130.27, extending its win streak to six sessions in a row. The rate sits just shy of Y130.31, where it topped out earlier in the session.

• A number of European countries including Germany, France, Italy, Spain and Portugal halted the distribution of Covid-19 vaccines produced by AstraZeneca, even as the European regulator downplayed the risk of blood clots allegedly posed by the jabs. EU health ministers will hold a video call today and are expected to discuss the matter. Finance ministers will also meet today, with Eurogroup Pres Donohoe noting that the EZ may need to maintain emergency support measures beyond the peak of the pandemic.
• Meanwhile, the European Commission is preparing to release its plan for economic reopening on Wednesday. BBG cited a draft of the document as pointing to "the prospect of a lifting of the restrictions weighing on citizens and the economy alike."
• The EU initiated legal action against the UK over the latter's breach of the bilateral Brexit deal.
• A break above the 1.236 proj of the Jun - Sep - Oct 2020 price swing at Y131.22 would allow bulls to focus on Oct 4, 2018 high of Y131.58. Bears eye Mar 11 low of Y129.23 for initial support, a break here would expose Mar 8 low of Y128.78.
• German ZEW Survey, final Italian & French CPIs and a Q&A with ECB's Elderson take focus today.