Exchange rate euro fell to its lowest level

The exchange rate euro will suffer a resounding defeat

In brief: Another fall occurred euro exchange rate on the foreign exchange market. Investors and speculators have ceased to believe in the euro currency and let the slope.

The exchange rate euro declines in price, recent reports from Europe are not added to investors confidence in the single European currency. At the global forex exchange is continuing decline quotes single European currency. In the course of trading the euro fell below the 1.25 dollars / euros – to 18-month low at 1.2447 dollars / euros. This figure is 0.6% below the closing of the previous trading day.

It continued to fall and the euro against the Japanese yen. Currently, one euro yield 114.85 yen – is at 1,5% below the close of business yesterday. The U.S. currency has updated an annual maximum in relation to “basket” of six world currencies. Dollar Index, reflecting the value of U.S. dollar against the basket, rose to 85.81 points. The reasons for collapse of the currency eurozone remain the same – increased fears of debt crisis in the region and the impact of budgetary measures on economic growth in European countries. It did not help the euro even the announcement of impending measures to scale back the fiscal deficit in Portugal and Spain. Euro has not responded to the measures taken by the Portuguese and Spanish authorities “, – result Reuters news agency the word head of currency research ING Chris Turner. “Investors either believe that those measures will be ineffective, or believe that the struggle with deficits will lead to a sharp slowdown in the region”, – emphasizes the expert. Since the beginning of this year, the euro lost against the dollar and the Japanese yen, more than 12%, and experts agree that as soon as the fall of the single European currency will continue. Thus, analysts Forex Club believe that even in the event of positive statistics today investors are unlikely to perceive this as a signal to the risk and, accordingly, to purchase riskier assets. “The situation around a long series of the euro area will continue to provide downward pressure on the euro. Thus, the single currency could aim for a level of 1.24 dollars / euro, and perhaps even lower,” – stressed the experts.

Ukrainian Globalist
2010-05-14 11:10, Currency news.

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