European shares lifted by weaker euro, dip in new virus cases

European shares rose on Wednesday, supported by a weaker euro, while a decline in the number of new coronavirus cases raised hopes that the impact of the epidemic on the global supply chain would be short-lived.

The pan-European STOXX 600 index was up 0.4% at 0804 GMT, as the number of new cases of the deadly virus fell for a second straight day in China. China-exposed sectors including autos and miners gained 0.6% and 1%, respectively.

All eyes will also be on a raft of economic data from the euro zone later in the day, including a flash reading of the Purchasing Managers' Index (PMI) for France and Germany. A survey on Tuesday showed a sharp deterioration in German investor sentiment, sending the euro crashing through a closely watched support level at $1.08. The common currency was last trading near its lowest levels since April 2017.