EUR undermined by Italian politics - AmpGFX
|Greg Gibbs, analyst at AmpGFX explained that the EUR has been undermined in recent days by political risk in Italy.
Key Quotes:
"The untested young leaders of anti-establishment populist parties in coalition talks to govern Italy have argued for freedoms from the rules of Eurozone monetary union.
Italian bond yields rose 16bp on Wednesday, with some contagion to other periphery government bond markets and European bank stocks.
The EUR has lost ground against a range of other currencies and may continue to languish should Italy’s new leaders propose significant new deficit spending that appears to flout the EU Growth and Stability Pact."
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.