The euro sold off sharply this week after the European Central Bank signalled it was not planning another rise in eurozone interest rates. The move came as the single currency looked to be staging an assault on its record high above $1.60 against the dollar.

The euro had risen to a 10-week peak of $1.5909 against the dollar on Thursday as sliding US equities prompted investors to question the ability of the Federal Reserve to raise interest rates and surging eurozone producer price inflation encouraged investors to price in a series of rate rises from the ECB.