Posts Tagged: Italian credit rating

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 previous trading week has been quite bad for lots of the economies around the world due to the fact that the global economic crisis has become stronger once more, weakening the global economies. This is especially due to the fact that Europe is confronted with lots of tensions as the situation in Greece and in Italy has become worse. As well, the fact that the Fed decided to purchase more bonds indicates that, on long-term, the US economy is not quite stable. As well, the Australian Dollar fell on bad economic signs, decreasing below the parity level against the US Dollar. All these economic developments have caused traders to worry about the market as there are clear signs of weaken global economy. This has generated a new wave of risk aversion and has directed traders towards safe-haven currencies once more. The Japanese Yen is one of the few currencies which took advantage of this situation.

Despite the Read more »