German Chancellor Angela Merkel has agreed with state leaders to extend the nationwide lockdown through February 14. Europe’s largest economy has been struggling with a significant wave of coronavirus cases and deaths.
In Italy, the eurozone’s third-largest economy is encountering a political crisis. The government survived a vote of no-confidence in the lower house and political analysts suggest that Prime Minister Giuseppe Conte has mustered enough support in the Senate.
EUR/USD is trading around 1.2130, as markets are following the testimony of former Federal Reserve Chair Janet Yellen.
See Janet Yellen confirmation hearings for Treasury Secretary live stream