And so, it is not surprising at first glance that the currency market started this morning with exactly the same EUR levels at which trading ended on Friday, Commerzbank’s Head of FX and Commodity Research Ulrich Leuchtmann notes. German state elections don’t move the markets, yet “If you think about it a little bit further, it's no longer so clear. You don't have to imagine a scenario of EU-skeptical to EU-hostile parties in Germany getting ever stronger .
Of course, a new eurozone crisis is not currently on the cards. Nevertheless, should the lack of crisis-fighting mechanisms not increase the risk premium for EUR positions at all times? And, as long as Bunds are the eurozone's safe haven, there is hardly any chance of a government-organized rescue without Germany's participation.” “But we should bear in mind that in 2012 it was not governments that ultimately succeeded in combating the crisis.