Creation Of The Common Currency

The tension is gripping markets still with the uncertainty over the stability in Europe and expectations for a Greek euro exit. The common currency is still trading sharply lower as hope dims ahead of the informal EU summit in Brussels today, where previous hopes for any action evaporated as Germany confirmed that its stance did not drastically change! Investors are still pushing the euro lower amid fear that Greece might be forced to default and exit the euro after the inclusive May 06 elections confirmed the wide rejection to the deep austerity measures. The market still sees high risks that the June 17 election might bring anti-austerity parties into the lead that will opt against austerity and refuse the bailout terms as Syriza did and that will cost Greece its membership. Investors ...

The sentiment improved today after the United Kingdom provided markets with the jobs report, where unemployment has unexpectedly dropped in the three months ending in March, raising optimism that the "balanced budget" previously provided by the Chancellor of Exchequer, George Osborne, might have a positive impact on the royal economy and the labor market as well, despite speculations joblessness will peak 8.7% this year before falling again. Unemployment in the United Kingdom unexpectedly fell to 8.2% from the previous of 8.3%, beating estimates of 8.4%, the thing that raised positivity in the market, supporting the sterling pound to erase most of the losses incurred earlier today; however, the sentiment is still mixed after Greeks found no common grounds regarding the creation of the ...

The week has come to an end and still Greeks cannot find common grounds regarding the creation of the coalition government, where after the effort made by Samaras and Tspiras failed, the focus will shift now to the former finance minister, Evangelos Venizelos, who will be meeting the leaders of other parties in attempt to end the political turmoil seen in Greece, and accordingly ease tension that controlled markets through the week. Eyes turned now to the PASOK Party to create the government, where Venizelos, who dropped his job as a finance chief to lead the party, is expected to negotiate his peers today in attempts to create a government to avoid bankruptcy, as the Greek financial situation is critical now and austerity for sure is the best interest for Greece. The sentiment continued ...

Another day comes for the old continent and still Greeks cannot find common grounds regarding the formation of the new government, where after Antonio Samaras failed to form a coalition government earlier this week, the leader of the leftist party Syriza, Alexis Tspiras, also failed yesterday, leaving the job in the hands of the PASOK party, led by the former Greek finance minister. As the political conflict remains obvious in Greece, the tension continues to be significant in the market, where fears and debt concerns are still weighing sharply on the overall sentiment, with expectations negativity will return for the third consecutive day as Greek leaders still cannot reach an agreement in regards to the creation of the coalition government, which in result will trigger a fresh general ...

The Weekly Bottom Line HIGHLIGHTS OF THE WEEK United States - U.S. job creation may have weakened in the last few months, but the grounds for sustaining stronger employment growth are more fertile now than have been since the economic recovery began. Europe's labor market, by contrast, is likely to deteriorate further before it gets better. - Europe's (nonfinancial) corporate sector is highly leveraged. As balance sheet adjustments are made, Europe risks further decreases in investment, higher layoffs, and lower economic growth. These effects are compounded by deleveraging in the public sector. - U.S. corporations, by contrast, are more profitable and liquid than they have ever been. At some point some of these funds will be unleashed towards new investment, creating a positive ...

(Reuters) - The euro fell against the dollar on Friday after weak euro zone services data and before weekend elections in France and Greece, though falls were limited ahead of U.S. jobs data later in the day. Lower-than-forecast jobs creation in the United States could reignite talk of more Federal Reserve monetary easing, which would weigh on the dollar. Figures due at 8.30 a.m. EDT are expected to show 170,000 jobs were added in April. However, after weak private payrolls data earlier this week investors see a risk of a lower number. "A non-farm payrolls number between 50,000 and 150,000 would make the market speculate about further QE which could weigh marginally on the dollar," said Carl Hammer, chief currency strategist at SEB in Stockholm. But any gains for the euro were likely ...

(Reuters) - Asian shares eked out small gains and the euro inched higher on Thursday, reflecting lingering worry over sovereign funding for troubled euro zone economies Spain and Italy. With a lack of strong follow-through buying in Asia from gains in global stocks on Wednesday and investors wary ahead of an Italian bond sale later in the session, European equity markets were likely to start mixed. Financial spreadbetters predicted major European markets .FTSE .FCHI .GDAXI would open between 0.2 percent lower and 0.2 percent higher. U.S. stock futures were up 0.3 percent. .EU .L .N MSCI's broadest index of Asia Pacific shares outside Japan .MIAPJ0000PUS edged up 0.3 percent, having earlier hovered near a 10-week low hit on Wednesday, as strong Australian employment data helped improve ...

After Greece found a key piece of its two-year old puzzle, U.S. traders are relieved yet much more eager to see a third consecutive 200K+ employment figure in today's jobs reprot. American employers probably hired more than 200 thousand workers in February. At 08:30 a.m. in Washington today, the Labor Department's monthly employment situation will probably come in to record the strongest six-month of gains in job creation since six years. Nonfarm farm payrolls probably increased 210 thousand after climbing 243 thousand in January. Still, markets are worried about the jobs outlook after Federal Reserve Chairman Ben Bernanke said the labot market is "far from normal" as well he claimed the recent plunge in jobless rate underestimates the labor market weakness. The unemployment rate ...

(Reuters) - The yen dipped against the dollar on Thursday in a knee-jerk reaction to data showing Japan's current account swung to a record deficit in January, while risk currencies gained together with stocks on hopes Greece may secure a bond swap deal. Short-term players sold the Japanese unit after Tokyo posted its first current account deficit in three years. It came in at 437.3 billion yen ($5.41 billion) in January, wider than market estimates of a 317.8 billion yen deficit. Economists blamed the result on a shift away from nuclear power that pushed up fossil fuel imports and the Chinese Lunar New Year holiday that weighed on exports. However, they saw it as a one-off figure and expect the annual current account to remain in surplus for the next few years. The dollar climbed 0.3 ...