Euro Continues to Struggle Following Brexit Fallout

Euro is heading lower today, dropping as fallout from the recent Brexit vote continues. Euro is down against its major counterparts, even remaining lower against the UK pound. Another issue weighing on the 19-nation currency has to do with the health of the Italian financial system. With concerns about the system, the euro is struggling.

Euro is down almost across the board today, struggling as concerns about fallout from the Brexit continue. There are worries that the nationalism that led to a vote for the United Kingdom to leave the European Union will spread and result in more changes to the makeup of the European body. Concerns are that there is a chance that the next country to leave will actually be part of the monetary union.

Also dragging on the euro today is the state of the Italian financial sector. Italian banks are struggling. However, there is populist outcry against the idea of bailing the banks out. For now, the euro is struggling and likely to remain low for some time.

At 15:50 GMT EUR/USD is lower, dropping to 1.1036 from the open at 1.1050. EUR/GBP is down to 0.8498 from the open at 0.8533. EUR/JPY is actually higher, heading up to 113.88 from the open at 111.19.

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