By: Barbara Zigah
In Asian trading today, the common currency Euro slipped to new multi-year lows versus the U.S. Dollar and the Japanese Yen, as well as the Swiss Franc. Investors continue to be worried that the fiscal problems of the struggling Euro-zone nations coupled with weakening equity markets will push the common currency lower as the week progresses. In late morning trading today on the Japanese Nikkei, average stock prices had lost 3.9%; immediately thereafter, the Euro slipped against the U.S. Dollar to $1.1876, a new 4-year trough, and against the Yen it fell to 108.06 Yen, the lowest trade in 8½ years. Versus the Swiss Franc, the Euro established a new record low when it struck CHF 1.3583. Analysts see the Euro slipping as far as $1.1850 and 108.00 Yen in today’s global trading day.
Furthermore, some analysts are predicting that, given the Euro’s slide versus the Swiss Franc, the Swiss National Bank may intervene during the global trading day to stop the decline.
Elsewhere in Europe, Hungary is now reporting its own fiscal concerns. On Friday, one official from Hungary compared his country’s fiscal problems to Greece’s, commentary which put pressure on the Euro, despite the fact that Hungary is not a Euro-zone member. Many Euro-zone financial institutions have significant investment in Eastern European countries, and fiscal problems in those nations will further hurt the struggling Euro.
Euro Strikes New Low against Swiss Franc and U.S. Dollar among Others
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.