Crossword Genius

Move round capital of Iceland, city in Europe (5)

Ross

I believe the answer is:

turin

I'm a little stuck... Click here to teach me more about this clue!

'europe' is the definition.
The definition and answer can be both locations as well as being singular nouns.
Maybe you can see an association between them that I can't see?

'move round capital of iceland city in' is the wordplay.
'move round' shows that the letters should be reversed in order (I've seen 'moving round' mean this).
'capital of iceland city' becomes 'rut' (I am not sure about this - if you are sure you should give a lot more credence to this answer).
'rut' back-to-front is 'tur'.
'tur'+'in'='TURIN'

Can you help me to learn more?

(Other definitions for turin that I've seen before include "North Italian city" , "First capital in 1861 of united Italy" , "foreign city" , "Industrial city in northwest Italy" , "Italian city with famous religious Shroud" .)

I've seen this clue in The Times.
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