The embattled euro is losing ground again today, thanks to the latest news from other countries that indicate how far the 19-nation currency still has left to go. The continuing Greek saga isn’t helping matters, either.
Yesterday, the euro showed some fight, gaining a bit of ground against its major counterparts. Today, though, that fight is gone. After yesterday’s manufacturing data out of the United States, the euro fell as a gap between recoveries continued to widen.
It appears that the eurozone may be faced with more quantitative easing in the coming months as policymakers at the European Central Bank try to boost the economic recovery.
On top of that, the eurozone still faces issues related to Greece. Even though the bailout situation was temporarily managed, the area is likely to be in a similar position when the latest extension runs out. Once again, many are predicting the exit of Greece from the eurozone, and an inevitable breakup of the euro down the road.
For now, all this uncertainty is weighing on the 19-nation currency, leading to losses today.
At 11:38 GMT EUR/USD is down to 1.1165 from the open at 11.1181. EUR/GBP is also lower, dropping to 0.7264 from the open at 0.7277. EUR/JPY is down to 133.8190 from the open at 134.3540.
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