Euro Breaks 14-Month Low

[Barefootsies]

May 14 (Bloomberg) -- The euro headed for a fourth weekly decline, breaking through the 14-month low reached against the dollar last week, on concern European nations? debt-cutting measures will undermine economic growth.

The 16-nation currency touched the least in a week versus the yen before Greece submits a progress report tomorrow to the European Commission on the implementation of a deficit-reduction plan. The yen gained versus all 16 of its major counterparts as Asian stocks and commodities fell, boosting demand for Japan?s currency as a refuge.

?The roots of the debt crisis in Europe have yet to be solved,? said Yoh Nihei, a Tokyo-based trading group manager at Tokai Tokyo Securities Co. ?People have reservations about the effectiveness of the loan package. I remain negative on the euro from a long-term perspective.?

The euro was at $1.2527 as of 10:08 a.m. in Tokyo from $1.2535 in New York yesterday, after touching $1.2516, the lowest level since March 5, 2009. Europe?s currency traded at 116.16 yen from 116.27 yen. It earlier touched 115.88 yen, the lowest since May 7. The yen was at 92.70 per dollar from 92.75.

The Nikkei 225 Stock Average fell 1.9 percent and the MSCI Asia Pacific Index of regional shares slipped 1.2 percent. The Reuters/Jeffries CRB Index of 19 raw materials declined 0.4 percent yesterday.

Unprecedented Loan Package

Europe?s currency has fallen 1.8 percent this week after the region?s policy makers unveiled an unprecedented loan package worth almost $1 trillion to combat the sovereign-debt crisis that?s threatening the currency. European Central Bank governing council member Guy Quaden said yesterday the situation facing Greece is worse than in other European nations.

Greece has announced three rounds of deficit-reduction measures this year, including increases in sales tax and levies on fuel, alcohol and tobacco. It last week agreed to a new package including wage and pension cuts to qualify for 110 billion euros ($138 billion) in emergency loans from the EU and the International Monetary Fund.

?Investors are still concerned widespread fiscal tightening could derail the already weak European economic recovery,? said Mike Jones, a currency strategist at Bank of New Zealand Ltd. in Wellington. ?A test of the euro?s 2008 low of $1.2330 looks likely in coming sessions.?

Portugal, Spain

Portugal lowered its budget-deficit goal for 2011 to 4.6 percent and approved tax increases and spending cuts. The government maintained a 7.3 percent deficit target for 2010. Last year?s deficit was 9.4 percent of gross domestic product.

Spain this week announced plans to reduce the deficit to 6 percent of GDP in 2011 from 11.2 percent last year, the largest two-year cut since at least 1980. Trade union UGT will stage a one-day strike of public sector workers in June, Candido Mendez, general secretary of the union, said in Madrid yesterday.

?The euro grinds lower on continued pessimism regarding peripheral euro-zone countries,? analysts led by Marc Chandler, New York-based global head of currency strategy at Brown Brothers Harriman & Co., wrote in a research note dated today. ?We remain negative on the euro.?

The euro has lost 8.5 percent this year, according to Bloomberg Correlation-Weighted Indexes. The dollar has gained 6.1 percent, and the yen has advanced 6.6 percent.

The dollar was poised to snap two weeks of declines against the yen before U.S. reports that may show retail sales rose for a seventh month and confidence among consumers improved in April, adding to signs the world?s largest economy is recovering.

U.S. Economy

?The outlook for the U.S. economy appears upbeat,? said Akane Vallery Uchida, a currency strategist at Royal Bank of Scotland Group Plc in Tokyo. ?This will probably be a positive factor for the greenback.?

Federal Reserve Bank of Minneapolis President Narayana Kocherlakota said yesterday the pledge to keep interest rates low for an ?extended period? doesn?t stop the central bank from raising rates ?if economic conditions change appropriately, whether that?s in three weeks, three months or three years.?

--With assistance from Craig Torres in Washington and Greg Quinn in Ottawa. Editors: Garfield Reynolds, Rocky Swift.

http://www.businessweek.com/news/201...rt-growth.html

[Helix]

Global economic meltdown in progress.

[GetSCORECash]

So the US economy is doing better?! Less forclosures and more people spending cash at stores.

But wait. Credit card companies have cut back credit on consumers and credit card declines are higher.

Either way the US and EU consumers will cut back on spending if they haven't already.

[Tjeezers]

Euro is going even down WAY MORE

Anyone noted that Romania, EU member also, is almost bankrupt?
Police there is thinking about killing their president, wages cut 25%, 140.000 Jobs lost for people who work for the state, and 150 Hospitals are being closed this year, taxes raised, pensions lowered drasticly, and this all in 1 week time. The list grows even longer

But the news did not picked that one up yet. Spain and Italy are already in the danger zone. The coin will go to 1.15/1.20 this year ( $/EU ) ... but it is being said it will even go lower then this.

[LoveSandra]

Originally Posted by Helix

Global economic meltdown in progress.

Fuck this shit.

I was earning USD when it got lower and lower by the month .. Now I'm earning most of the money in EUR and now this currency goes to the shitter

Fuck it!!

[NickB.]

Originally Posted by Gasper

Fuck this shit.

I was earning USD when it got lower and lower by the month .. Now I'm earning most of the money in EUR and now this currency goes to the shitter

Fuck it!!

Always something

[martinsc]

[notime]

Cheaper for US guys to buy my content then !
That is the only good news I can make from it.

[Ethersync]

Originally Posted by Tjeezers

Euro is going even down WAY MORE

PAR

[brassmonkey]

Originally Posted by martinsc

[sexyclicks]

yeah tell me about it, I sold my house in Canada last year and bought a new place in Malta. Just 6 months ago 300,000 CAD was roughly 180,000 Euro and today the same amount comes up to 230,000 Euro....

[Dreamteam]

Well ... THIS IS GREAT NEWS !!!!!

Now I already make +3/4000 euros MORE each month by doing nothing extra.
More euros for tha dollars ;)

This is fucking great news .. the only thing I hope is that we go back to the "2000" situation where the vallue of a euro was only 80% of a US dollar ...

That would make me another 8 to 9000 euros a month extra.
So you don't hear any complaints from me ;)

The euro was WAAAAAAAAAAY overrated in the past years.
Costed me shitloads of money.

It's fucking time ...

[Ross]

Originally Posted by sexyclicks

yeah tell me about it, I sold my house in Canada last year and bought a new place in Malta. Just 6 months ago 300,000 CAD was roughly 180,000 Euro and today the same amount comes up to 230,000 Euro....

Where abouts in Malta did you buy? I currently live in Sliema. Drop me a line if you wanna grab a beer and talk some business sometime.

[sexyclicks]

Originally Posted by Ross

Where abouts in Malta did you buy? I currently live in Sliema. Drop me a line if you wanna grab a beer and talk some business sometime.

I used to live in Sliema too in the beginning, but we bought a property in Gzira in Savoy Gardens

We also run a bar in Paceville called RIOT, is inside the BayStreet Mall on the ground level 0 right next to the hotel lobby. Tonight my girlfriend is spinning there from 9pm until midnight so if you feel like it pass by for a beer and ask for George!

[Ross]

Originally Posted by sexyclicks

I used to live in Sliema too in the beginning, but we bought a property in Gzira in Savoy Gardens

We also run a bar in Paceville called RIOT, is inside the BayStreet Mall on the ground level 0 right next to the hotel lobby. Tonight my girlfriend is spinning there from 9pm until midnight so if you feel like it pass by for a beer and ask for George!

Hey, I'll maybe drop by next week, I'm going over to Sicily for the weekend. There is a few of us here, so we'll all come by and grab a beer. Shoot me an email so I have your contact.

[sexyclicks]

Originally Posted by Ross

Hey, I'll maybe drop by next week, I'm going over to Sicily for the weekend. There is a few of us here, so we'll all come by and grab a beer. Shoot me an email so I have your contact.

ok next week I will be in Greece but Malta is small so we will meet sooner or later

my email is admin AT c9media . com and cell# 99161975

[L-Pink]

Originally Posted by sexyclicks

ok next week I will be in Greece but Malta is small so we will meet sooner or later

my email is admin AT c9media . com and cell# 99161975

Shouldn't be to hard to find him .....




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