2012

The single currency has found strength this week to get over 1.30 psychological level versus the greenback again as the markets have shrugged off the delay of reaching an agreement between Greece and its creditors from the private sector as they have done last week by ignoring downgrading the credit rating of 9 of the Euro area remembers and also the EFSF's bonds by S&P giving all of the EU countries a negative outlook driving the yield of the European bonds down further. But The EU Fin Ministers meeting yesterday has come out yesterday with a new warning to Greece that it shouldn't expect more funds for bailing it even though the country's economy is worsening to push the single currency below 1.30 again.  The single currency has already opened the week below 1.29 versus the greenback on the worries about the results of the negotiations between Greece and IIF on the fear of the possibility of failing again to reach an...

The pressure on the single currency continued in the beginning of this week versus the greenback as the fear of downgrading the credit rating of the EU countries has materialized by the end of last week by cutting the credit rating of 9 of the Euro area remembers by S&P giving all of the EU countries a negative outlook but Germany and Slovenia which has been cut by one notch like Slovakia, Malta, Austria and France which was having a triple A rating like Germany, Finland, Netherlander and Luxemburg who had been maintained with no change while Italy, Spain, Portugal and Cyrus have been cut by 2 notches as the credit rating downgrading risk was one of the elements which were weighing down on the single currency recently especially after S&P's warning on the 5th of last month by placing the credit ratings of 15 euro zone countries on negative credit watch. The reactions of the EU Members were mixed. While Germany has...