EUR/USD Trends July 27-30 2010

EUR/USD The euro last week started at 1.2900 per dollar, and slowly but steadily grew to the closing price of 1.2907. It was a typical week of a slow recovery for the single currency since the beginning of June. This week, however, the opening price of 1.2886 was not encouraging at all though the euro is climbing again and currently trading at 1.2909. Tuesday GfK German Consumer Climate, 7:00 a.m. GMT. The German Consumer Climate index is about to come out on Tuesday, and is expected to be slightly higher…

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UK Recession Appears Worse than Thought

The economic recession in UK is actually worse than originally thought. The Office for National Statistics first showed that the decline in output was 6.2%, when it was actually 6.4%. The real figures also showed that the period between spring 2008 and autumn 2009 was the hardest on the economy since the Great Depression of the 1930s – even compared to the recession in the beginning of 1980s. “The picture remains one of only gradual recovery so far following a record six quarters of deep overall recession through to the…

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Spain Fears from the Economic Crisis in Greece

Spain is also experiencing an economic downturn, but according to financial experts, the situation is not as bad as it is in Greece. Although Spain was once one of the biggest sources for jobs in Europe, its unemployment rate of 20.05% in 2010 is now the highest in the euro zone, and is a major problem for the country. This high percentage of jobless people is an obstacle for the government to cope with the economic stagnation. According to Fernando Fernandez Mendez de Andes, a professor of economics at the…

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Will the UK follow Greece’s Financial Crisis?

Some believe UK is going to follow Greece’s economic pitfall. There are several reasons, however, why UK could resist. Both countries’ deficits are scarily similar: Greece is at 13.6%, and UK—at 11.5%, as the maximum an EU member should have is 3%. Both governments are not quite clear how they plan to reduce these numbers to the accepted limit. UK, however, has a strong bet, and that is its own currency—the pound, which gives it independence. “It UK could, if it wanted to, devalue its currency, and that would relieve…

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