By: Barbara Zigah
The common currency Euro slid to a new record low versus the Swiss Franc, and a 10-month trough against the U.S. Dollar, in Asian trading today. As reported at 3:52 am (JST) in Tokyo, the Euro traded at 1.4232 Swiss Francs, a new all-time low, and many traders believe that until the Swiss National Bank intervenes, as it has in the past, it will likely fall lower. Meanwhile, against the U.S. Dollar, the Euro slipped to $1.3403, the lowest trade since May 2009; so far this year, the Euro has lost almost 6% against the greenback. Forex traders in Japan cite the debt problems in Euro-zone nations as a whole, as the primary contributor to the Euro’s heaviness, and not specifically the fiscal problems in Greece.
Tomorrow begins the 2-day E.U. meeting of finance ministers, and for the first time, Germany has indicated that, as the last resort, it may be in agreement to the funding of a rescue package for the heavily debt-burdened Greek nation provided that certain conditions are met, which include the IMF’s contribution of a “substantial” amount. Analysts believe that interest rates within the Euro-zone will remain unchanged, given the debt problems in certain European nations and the relatively poor economic growth of the Euro-zone as a whole, and that fact alone will continue to play heavily on the Euro’s downtrend.
Euro Strikes New Low versus Swiss Franc
After working on Wall Street, Barb began her second career as a freelance writer at Daily Forex, where the CEO recognized fresh, untapped potential and was willing to give her a try. She’s never looked back. Since then, she’s worked steadily as a freelance writer and editor in the financial services and Forex-related industry.