FOREX-Pound stays on back foot as PM Johnson enters intensive care

* Graphic: World FX rates in 2020 https://tmsnrt.rs/2RBWI5E
* Pound on edge as Johnson enters intensive care
* Dollar grinding higher on signs coronavirus flattening
* Coronavirus pandemic roils global economy

By Stanley White
TOKYO, April 7 (Reuters) - The pound edged lower against the
dollar and the euro on Tuesday after British Prime Minister
Boris Johnson was moved to intensive care after his coronavirus
symptoms worsened.
The dollar held onto gains against the euro, the yen, and
the Swiss franc as tentative signs that deaths due to the novel
coronavirus in hot spots in the United States and Europe were
starting to slow supported risk sentiment.
The yen was steady against major currencies after Japanese
Prime Minister Shinzo Abe unveiled fiscal stimulus worth almost
$1 trillion and agreed to declare a state of emergency for Tokyo
and other parts of Japan to slow coronavirus infections.
Many investors are looking for signs of a peak in the
coronavirus pandemic, but some analysts warn of volatility given
the unpredictable nature of the previously unknown virus.
"The currency market has remained fairly calm, but there
will be more downside for sterling if Johnson's condition
worsens," said Junichi Ishikawa, senior FX strategist at IG
Securities in Tokyo.
"The yen will not react much to the state of the emergency,
because other currencies are focused on signs that the
coronavirus curve is starting to flatten out."
The pound GBP=D3 traded at $1.2234 on Tuesday in Asia
following a 0.3% decline on Monday. Against the euro, sterling
EURGBP=D3 slipped by 0.19% to 88.39 pence.
Johnson was admitted to hospital on Sunday night and had
been undergoing tests after suffering persistent coronavirus
symptoms, including a high temperature, for more than 10 days.
Downing Street had said he was still conscious, though his
condition deteriorated in the early evening. Britain has no formal succession plan should the prime
minister become incapacitated, but Johnson has asked Foreign
Secretary Dominic Raab to deputise for him. The dollar traded at $1.0798 per euro EUR=EBS , holding
onto six sessions of gains. Against the save-haven Swiss franc
CHF=EBS , the greenback traded near a two-week high of 0.9796.
Risk sentiment improved after the governors of New York and
New Jersey pointed to tentative signs that the coronavirus
outbreak in their states was starting to plateau.
The Australian dollar AUD=D3 edged up 0.5% against its
U.S. counterpart, while the New Zealand dollar rose 0.35%
against the greenback as investors felt more comfortable buying
currencies sensitive to risk.
The dollar fell 0.22% to 108.99 yen JPY=EBS on Tuesday
ahead of Japan's declaration of a state of emergency.
On Monday, Japanese Prime Minister Shinzo Abe pledged to
roll out an unprecedented economic stimulus, equal to 20% of
economic output, as his government vowed to take "all steps" to
battle the deepening fallout from the coronavirus.