Article of the week 02.22.2013
The euro may extend losses ahead of Italy’s general elections next week
During this week, we realized that the euro
zone common currency was already under pressure against the dollar after the
Federal Reserve's January meeting minutes released on Wednesday.
Furthermore,
the disappointing PMI data suggested that the Euro zone economic outlook
remained gloomy.
The
European Commission says the euro zone economy will shrink in 2013, after
previously predicting that it would grow slightly.
In
addition, a report showed that German Ifo business climate rose to 107.4, from
104.3 in the preceding month, which boosted the Euro to recover permanently.
Concerning
the precious metals, we noticed the rebound of Gold prices on Friday, to reach
$1587 per ounce, extending gains from Thursday’s session, after U.S economic
indicators pointed to an uncertain recovery in the world’s largest economy and
raised hopes that Federal Reserve monetary stimulus would continue.
And of
course we will update you with the Elections results and the Euro trend in the
weekly forecast of the EUR/USD on the next week.
