The short answer is it should not have an impact at all. Italians headed to the polls and while the socialists won by a slim majority thanks to an election law dating back to the Byzantine empire they will not be able to govern the country without a coalition partner. Silvio Berlusconi and his capitalist party launched a massive comeback and is now the single biggest party in parliament while the party of comedian-turned politician Beppe Grillo played big spoiler and vowed not to join any coalition. The German puppet government lead by...
We will give you an overview of events which unfolded between the fourth-quarter of 2008 as the global financial crisis unfolded until the most recent Cypriot bailout story and how they have impacted the EURUSD currency pair. The EURUSD has witnessed wide swings as it remains under severe influence from the Eurozone debt contagion which has a grip on continental Europe while the U.S. Dollar is under influence by the Fed. The EURUSD is the most traded and most liquid currency pair and puts the world’s biggest economy, the EU, against...
The risk of default in Cyprus and a possibility of country’s out of the eurozone will be maintained for a long period of time, according to many experts. Cyprus is facing serious economic consequences due to the damage to reputation of the financial sector. Unlikely this country will be able to keep the status of offshore financial center after that crisis. Note that the international rating agency Moody's earlier downgraded the three largest banks in Cyprus - Bank of Cyprus, Cyprus Popular Bank and Hellenic Bank. Indicator of...
Cypriot lawmakers rejected the forced depositor’s participation into the required financial bailout of Cyprus. The initial time of the vote was Monday at 1500 hours which was canceled as President Anastasiades amended the terms in order to legally steal less from deposits below €100,000 while stealing much more from deposits above €100,000. Initially it was reported that Anastasiades had the minimum required votes of 29 in order to make the proposal a law. The initial agreement was reached this past weekend and forex markets...
The short answer is no, they cannot. There are severe sanctions on North Korea and it is very tough for the totalitarian regime in Pyongyang to move money around which is why the infamous suitcases of cash have become the primary means for financial transactions. Therefore North Korea does not possess the infrastructure and market access in order to derail forex markets. The long answer is maybe they can have an indirect impact on at least a few currency pairs, especially in the region. The good news is that those currency pairs are not...
