The Euro continues to strengthen against other currencies, including the Dollar and the Yen, which have been two of the most sought-after safe havens during the coronavirus crisis. The single currency’s weekly gains versus the greenback are touching 1.3% during early Wednesday trading, as investors see some light at the end of the tunnel for a monetary union that has been tested during the COVID-19 pandemic.
After weeks of disagreement and bickering between member states, it appears that the Franco German proposal, for a common recovery fund that will be shared under the EU budget, may be gaining traction and could be the seed for some future form of fiscal solidarity in Europe. Such an arrangement is seen by many as fundamental for the long-term survival of the Euro.
