Euro extends drop after report on German growth cuts

Euro notes and coins
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The euro extended its fall on Monday and headed for a new two-year low after Reuters reported that Germany's leading economic institutes had revised down their growth forecast for Europe's biggest economy for this year.

The single currency weakened 0.3% to as low as $1.0906 after the story was published, which cited sources with knowledge of the institutes' decision.

The euro hit its weakest since 2017 last week, at $1.0904, weighed down by dollar strength and concerns about an economic downturn in the euro zone.

It also extended losses against sterling, falling half a percent to 88.56 pence.