Concerns over Europe are back

FXOpen

Concerns over Europe are back. Recent parliamentary elections in Greece and presidential elections in France have opened another round of talks over the European currency’s future. Mr. Hollande unlike his predecessor shares no optimism with regard to harsh fiscal tightening, proposed by Germany, which casts doubt over the euro zone’s chances of recovery.

Asian markets were first to react to news from Europe. Nikkei index fell -2.8%, followed by Hong Kong Hang Sang -2.67% and S&P/ASX 200 -2.15% respectively.

EUR/USD Currency pair started trading with a 54 point gap at 1.3028 and went below the psychological level of 1.30 to 1.2955.

Also in the news, Wall Street Journal reports on the European debt crisis: “At the end of March, 10 of Europe’s biggest banks had parked a total of nearly $1.2 trillion of cash at central banks around the world, according to an analysis by The Wall Street Journal of bank disclosures. The total is $128 billion higher, or a 12% jump, since December and up 66% from the end of 2010”.

Given the current events, further weakening of Euro in the near term seems the most anticipated scenario.

Trade over 50 forex markets 24 hours a day with FXOpen. Take advantage of low commissions, deep liquidity, and spreads from 0.0 pips. Open your FXOpen account now or learn more about trading forex with FXOpen.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Stay ahead of the market!

Subscribe now to our mailing list and receive the latest market news and insights delivered directly to your inbox.

forex

Forex Trading with FXOpen

Forex Trading with FXOpen

Experience ECN technology for deep liquidity and light-speed trade execution

  • Access over 50 markets
  • Trade with spreads from 0.0 pips
  • Take advantage of commissions from $1.50/lot
Learn more

Latest articles

Apple (AAPL) share price slips towards psychological $200 level
Shares

Apple (AAPL) share price slips towards psychological $200 level

Yesterday, Apple shares (AAPL) fell by 2.5%, edging closer to the key psychological threshold of $200. Moreover, the stock is underperforming the broader market, which reached new highs earlier this week — a move AAPL has yet to replicate.

Why

Bitcoin Hits All-Time High, Surges Above $110K
Cryptocurrencies

Bitcoin Hits All-Time High, Surges Above $110K

As shown on the BTC/USD chart, the Bitcoin price has broken above the $110K mark, setting a new all-time high around $111,800.

This move highlights the strength of the leading cryptocurrency, which has surged nearly 50% in just

The US Dollar May Revisit Year-to-Date Lows

The US Dollar May Revisit Year-to-Date Lows

Currency pairs such as USD/CAD and USD/JPY continue to trend lower, approaching their year-to-date lows. The decline in the dollar is largely driven by growing investor concerns over the fiscal sustainability of the United States and uncertainty surrounding

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.