Euro to lose out if fiscal risks were to become more of a market focus again

there is a fear that fiscal calamities will influence the monetary policy of the respective central bank, this dampens the positive effect of a restrictive monetary policy because there is a fear that it will no longer be sustainable.

In the Eurozone, it is the weakest link that counts, because since the Eurozone crisis, the ECB has become the fighter against every sovereign debt crisis. Therefore, it is not Germany's or France's debt levels that should be used to assess the Euro, but Italy's fiscal situation. In a US Dollar vs. Euro comparison, the Euro would probably be the one to lose out if fiscal risks were to become more of a market focus again.

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

The market could punish the SEK againEconomists at Commerzbank analyze Swedish Krona’s outlook. Riksbank does not exactly suggest that it is taking decisive action against inflation We re
Source: FXStreetNews - 🏆 14. / 72 Read more »

Euro zone labour market shows no sign of weakening: LagardeEuro zone labour market shows no sign of weakening: Lagarde
Source: Investingcom - 🏆 450. / 53 Read more »