Euro Unable to React on Debt Concern

The euro remained trading near 2010 record lows reached last week as the fiscal health of several Eurozone member countries is putting the single currency under pressure before an ECB monthly bulletin to be released on Thursday this week.

The Eurozone currency did not manage to pare last week losses versus important currencies from its main trading partners as the U.K., the U.S. and Japan after the EU President Herman Van Rompuy didn’t mention Greece as one of the main topics to be approached during a summit to be held this week, decreasing chances that the European Central Bank will help Greece to emerge from its fiscal crisis. After the Greek government proposed a series of measures to shorten the country’s budget deficit, a series of strikes unfolded in Greece, deepening the financial crisis to the social sphere.

Despite European central bankers position trying to convince investors that the region can still provide safe and attractive opportunities for injecting capital, the sentiment towards the bloc decreased drastically, and this is reflecting on the current euro’s downmarket.

EUR/USD traded at 1.3652 as of 01:22 GMT from a previous intraday rate of 1.3643. EUR/JPY traded at 121.86 from 121.77.

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