Posts Tagged: Angela Merkel

Just like the previous wee, this week will find itself under the influence of the Group of Twenty meeting, which has managed to break one of the market’s trends in order to establish another. The most important evolution of the market is related to the fact that the risk aversion caused by the downgrade of the credit rating of bank in Europe and in Spain did not manage to last for long, but has soon been replaced with a new wave of optimism caused by the optimism related to the results of the Group of Twenty meeting. This means that the trend broke as the volatile price action which has been visible in the p0revious weeks has now disappeared without warning.

This has led to the growth of higher-yielding assets, such as commodities, stocks and other risk-related assets. One of the great evolutions has been that of the Australian Dollar, which has posted gains as big as Read more »

Despite of the global economic crisis and of the numerous problems with which economies are confronted at the moment, the Euro and the Canadian Dollar have managed to finish the week incredibly well.

The Euro has registered this week the biggest gains in the last two years. This is due to the optimism of the Forex traders related to the ability of the European officials of solving the problems with which the European Union is confronted at the present moment. As a matter of fact, this new wave of optimism has had a positive effect upon the currency in the last several weeks, not just now. This is mainly related to the promise made by the German Chancellor, Angela Merkel, and the French President, Nicolas Sarkozy, related to the fact that they are going to find a solution in order to solve the sovereign debt crisis in the European Union. This promise has had a positive effect Read more »

The discussions between Angela Merkel and Nicolas Sarkozy related to the situation in Greece and in the European Union have had a major impact on the trading market today. In the meeting yesterday, the German Chancellor, Angela Merkel, and the French President, Nicolas Sarkozy, discussed about the measures that need to be taken in order to maintain Greece in the European Union and find a solution for the crisis, announcing that they have set a three0week deadline to themselves for recapitalizing banks and finding a “durable” solution to the sovereign debt crisis. It is at this moment that Merkel stated that they are to do “everything necessary” in order to make sure that the European banks have enough money. As well, Sarkozy announced that the plan they come up to for saving the European financial system is going to be presented at the Group of 20 summit which will be held on the 3rd of November.

Based Read more »

Despite the fact that the European debt crisis seems to get worse than usual, the European currency managed to grow a little based on the assumption that the sovereign debt crisis is to be contained. This is the reaction of the forex traders to the discussions had by the European leaders. There are numerous traders who have confidence in the European leaders and who think that all these problems are going to be solved.

At the moment, it does not seem to be any plans as to expand the EFSF, but the participants to the trading market are considering that the European leaders are to find a solution to the sovereign debt crisis and that this solution is to be found before the crisis brings down Italy, Spain and possibly France as well. It seems that, at this moment, there are numerous efforts made in order to require recapitalization for banks. There is also a great focus Read more »

The European zone is confronted with more and more bad news each day. Some of the problems associated with the making progress of the sovereign debt crisis and the bailouts of countries such as Greece are related to Angela Merkel, the German Chancellor, who has seen divisions over the problem of the bailouts in the Eurozone in the coalition government. There are some German politicians who are disgusted at the thought of sustaining other European countries in their debt crisis. This comes as a consequence of the fact that Germany already provides huge quantities of money for the indebted nations and in order to sustain the Euro on the trading market. This is rather normal as the German economy is the most powerful and the most solvent one in the Eurozone. As a matter of fact, at the moment, Angela Merkel is faced with interior problems as there are parties which sustain the Euro and others which are Read more »

The crisis in the European Union has had quite an effect upon the currencies in Canada, Russia and South Africa today. There are signs that the expected global economic recovery is not going so well, which have caused an unpredicted evolution of some other currencies in the world.

The Canadian Dollar decreased today due to the fact that cooper and oil prices have fallen due to the evolution of the economic crisis. This has caused the Canadian Dollar to trade just a few cents of parity with the US Dollar. The crude oil’s value decreased today, reaching the value of $88.54 per barrel in New York. This is the most important Canadian export, so it has quite an influence upon the value of the currency. On the other hand, the value of the cooper fell by 1.6 percent, reaching the price of $8.630 per metric ton. These are not the only raw materials which have decreased, as the Read more »

Just when we thought that things will get better in the Eurozone, concerns started to grow again. This is due to the fact that the elections in Germany went otherwise than expected, Angela Merkel no longer being elected, which means that there are high chances for the new elected party not to sustain the bailout system anymore. Moreover, the problems in Greece seem to intensify, making the situation worse. Also, all the macroeconomic reports related to the UK showed disappointing figures, while the Swiss National bank took the decision of imposing a fix exchange rate for the EUR/CHF pair of 1.20 in order to stop the overvaluation of the nation’s currency. All these facts resulted in imposing a tensed mood in Europe, making traders fell risk aversion once more. And this has had lots of influences on the other currencies in the world, such as the New Zealand Dollar or the South African Rand, which have experienced losses Read more »

The situation in Europe becomes, once more, serious due to the fact that there are some countries which are confronted with internal issues. This type of evolution affects once more the trading market, as traders will be driven towards safe-haven currencies once more.

The Euro is in trouble as a reaction to the fact that Germany’s ruling party has lost the elections. This has caused the level of confidence among traders to drop, making the Euro fall for the fifth day in a row, especially against the safe-haven currencies, such as the US Dollar and the Japanese Yen. It is official now that the Christian Democratic Union, the party of the German Chancellor Angela Merkel, has lost the elections this year in all of the six German states. The results of the elections have caused a wave of concerns among traders due to the fact that this may mean that the party to rule since now on Read more »