EUR fell against most major currencies in the European session on Thursday as announcements of easing of restrictions in a number of European countries, including Germany, were not enough to outweigh the expectations for the economic fall-out. Markets do not believe that a half-trillion-euro rescue package, agreed by Eurozone's governments last week to help the countries through the COVID-19 outbreak, will be insufficient, especially for debt-laden Italy.

Market participants also received the Eurozone's industrial production figures for February (before COVID-19 lockdown measures).

Eurostat reported industrial production in the Eurozone edged down 0.1 percent m/m in February, following a 2.3 percent m/m gain in January. Economists had forecast a drop of 0.2 percent m/m. In y/y terms, industrial production declined 1.9 percent after a 1.7 percent drop in January. Economists had forecast a 2 percent decrease. Production of capital goods tumbled 3.6 percent y/y in February, while energy output slumped 2.2 percent y/y and intermediate goods output fell 0.8 percent y/y.

Meanwhile, the ECB's President Christine Lagarde acknowledged that incoming economic data, particularly recent survey results, had started to show "unprecedented falls", pointing to "a large contraction in output" in the Eurozone. She also noted that recent policy actions had helped to improve conditions for funds and reiterated that the ECB would explore all options and all contingencies to support the economy.