The euro loses $ 1.26 after the rejection of Finland to purchase debt
The euro fell today on news that Finland and the Netherlands rejected the permanent bailout fund buys sovereign debt MEDE negative economic data.
The single currency was trading at 17.00 hours GMT to $ 1.2592, up from $ 1.2685 in the last hours of European trading the currency market on Friday
The ECB today fixed the official exchange rate of $ 1.2593 euro.
Finland threatens to block the purchase of sovereign debt bonds in the secondary market by the European rescue fund, which puts at risk one of the key decisions the last European Council favoring Spain and Italy, Finnish diplomatic sources said.
The euro had gained two cents, to $ 1.27, since the euro zone leaders opened way to recapitalize banks and directly to facilitate the use of European funds to buy debt rescue of states under pressure markets, the two main claims of Spain and Italy.
The euphoria following the agreements of the political leaders of the euro area has vanished, although there has been a turnaround, said the bank’s foreign exchange expert of the States of Hesse and Thuringia (Helaba) Ulrich Wortberg.
Fell purchasing managers index of manufacturing sectors in China, the euro area and U.S., indicating a decline in industrial activity.
The dollar is presented as a safe investment at a time of high uncertainty and appreciated even though the U.S. economic data are negative, they said.
Financial markets that the ECB will lower discounted the interest rates for the euro area by a quarter point to 0.75% at its meeting next Thursday.
The euro fluctuation band against the greenback today was wide and ranged between 1.2568 and $ 1.2675.
Category: Forex
