Source: ForexYard
The euro fell to a new two-month low against the US dollar during overnight trading, after euro-zone officials failed yesterday to agree on a plan for Greece to receive a new round of bailout funds.
Additionally, investors are still concerned with the prospect that massive tax increases in budget cuts in the United States will automatically occur if congress is unable to reach a budget deal. The threat of the so called “fiscal cliff” resulted in other higher yielding currencies and commodities, including the AUD and crude oil, taking losses during the Asian session.
Main News for Today
German ZEW Economic Sentiment- 10:00 GMT
• Recent fears that the EU debt crisis is spreading to Germany means that this indicator is likely to take on added importance when it is released today
• Analysts are forecasting the figure to come in at -9.9, slightly better than last month’s -11.5
• Any worse than expected data could result in the euro extending its recent losses
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