logo
  Join        Login             Stock Quote

Fiscal Cliff Concerns Lead to Risk Aversion

 November 08, 2012 11:39 AM


The euro, already trading at a two-month low against the US dollar, is extending its bearish trend as investors continue to worry about euro-zone debt and the impending US "fiscal cliff." The fiscal cliff consists of around $600 billion in spending cuts combined with tax hikes that is set to take place at the end of this year unless the US congress can negotiate a plan to reduce the deficit.

While fiscal cliff concerns are likely to remain on investors minds for the foreseeable future, the more immediate cause for worry appears to be the ongoing euro-zone debt crisis. While the common-currency received a moderate boost yesterday following the Greek parliament's approval of a new batch of austerity measures, the bullish movement proved to be short lived.

[Related -Initial Jobless Claims Rose Unexpectedly]

For clues as to how the euro will be performing for the rest of the day, traders will want to pay attention to the ECB Press Conference at 13:30 GMT. Weak data from across the euro-zone has led to speculations that the ECB may soon cut interest rates. Any sign of an impending rate cut today could lead to significant market volatility.

Read more forex news on our forex blog

iOnTheMarket Premium
Advertisement

Advertisement


Post Comment -- Login is required to post message
Name:  
Alert for new comments:
Your email:
Your Website:
Title:
Comments:
 

rss feed

Latest Stories

article imageInitial Jobless Claims Rose Unexpectedly

Claims unexpectedly rose in the latest report through last weekend to breach 300,000 for the first time read on...

article imageAll Quiet on the Record High Front

What can we glean from the media’s lack of attention to the market’s recent record read on...

article imageThe Chip Maker Short Sellers Should Be Watching

Investing in semiconductor stocks is always tricky. Industry cycles can lead to bumps in the road for the read on...

article imageChicago Fed: US Economic Growth Slowed In October

The pace of US growth slowed more than expected in October, according to this morning’s update of the read on...

Advertisement
Popular Articles

Advertisement
Daily Sector Scan
Partner Center



Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.