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The query has this comment (: Description: Test for string literal containing the character reference '€' which transaltes into the symbol :) The "" character is stored as byte 0x80; this means that the file is not encoded in UTF-8, but in the windows-1252 code page. And our processor assumes the queries are in UTF-8 unless the encoding is specified in the header. I see three possible solutions: 1) add a 'xquery version "1.0" encoding "windows-1252";' header [risky, it would be testing support for different encodings] 2) save the query using UTF-8 3) remove the symbol and use the full word 'Euro'
Updated the test description in the XQ file and the catalog and also re-saved the query file as UTF-8