Market News

The problems in the Eurozone are significantly overshadowing even the dismal jobs report out of the U.S. and the Euro is under considerable pressure as a result.

The Australian Dollar moved lower against its U.S. counterpart following the release of PMI data from China which provided more evidence that their economy is slowing beyond the government’s intentions.

As Spain’s woes grow, the common currency Euro is set to post its largest drop against the U.S. Dollar in eight months. Bond yields on Spanish sovereign debt once again surged upward, striking a 6-month high and widening the differential between Spanish debt and German bunds.

The Euro struck a new 2-year low in Asian trading as investors’ concerns over rising borrowing costs for Spanish debt, and indeed, the Spanish banking system, are weighing significantly.

Even as Greek worries take a backstage, investor concerns over Spain’s banking system are keeping the Euro close to a 2-year low versus the U.S. Dollar, as yields at the most recent Spanish debt auction rose to near 6.5% for 10-year benchmark debt, edging closer to the 7.0% threshold which analysts consider unsustainable over the long term.

A recently conducted poll in Greece is giving rise to new found hope that the country may as yet pull off a miracle and agree on the austerity measures which will allow them to stay in the Eurozone.

The Euro continues to be stuck close to a 2-year low against the U.S. Dollar as investors consider yesterday's German manufacturing data which suggests that not even the Eurozone's economic powerhouse can escape the debt crisis' tendrils.

With E.U. leadership offering no more of a solid outcome than a little positive affirmation that Greece should work towards staying in the Eurozone, the pressure on the common currency continues to mount.

During the Asian trading session, the common currency Euro continued its slide edging near to a 21-month trough as worries over a disorderly Greek exit escalate.

The Euro refuses to budge too far from the recently struck 4-month low, and is finding it difficult to break through technical resistance.

The Euro managed to hold onto another day of gains despite the G8’s somewhat tepid assurances to continue to work towards a resolution for the Eurozone sovereign debt crisis.

The Euro continues to decline on rising contagion fears and growing worries that Greece will be compelled to exit the Eurozone.

Though the Euro clawed higher, it remains vulnerable as fears of a Greek exit grow on the backs of news that some Greek banks are experiencing a funding crisis.

In Asian trading, the Euro wallowed near to a 4-month low versus the U.S. Dollar, but traders expect a continued downtrend following the stalemate in Greek politics which will usher in a new election, certainly, but moreover, the increasing risk of a Greek exit from the Eurozone.

Traders are growing increasingly worried that the political impasse staged by the ruling parties in Greece will ultimately lead to the country’s pull out from the Eurozone which is pushing the common currency lower in Asian trading.