Currency Note Euro

Euro awaits the German elections

By Ricky Bean September 20th, 2013

The euro started off Monday on an impressive note. However later on in the week it struggled despite the release of much better than expected German and European investor optimism figures which showed German optimism had jumped to 49.6 whilst European optimism as a whole rose significantly to 58 from 44. The Euro really took a back seat in yesterday’s trading session with the headlines coming from the US Federal Reserve meeting and the poor UK retail sales data. Following both of these unexpected results the Euro gained in the markets as investors looked to move their assets elsewhere. Whilst the Euro was not wholly responsible for these gains it did breach a previous seven month high as it rallied up to 1.3530 against the US dollar late Thursday afternoon. This weekend we have the German election. Chancellor Merkel is expected to remain in power but the structure of her coalition could change which will influence some of the nuisances of German policy towards the Eurozone which could have a significant effect on how the euro performs next week. Call now for an update.