Boris Schlossberg, BK Asset Management; Ed Keon, Quantitative Management Associates, and Krishna Guha, ISI Group, discuss the strong euro, the play on the Japanese yen and whether the markets are fairly valued.
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The euro held onto gains early on Tuesday, having risen broadly after the European Central Bank again played down the need for any policy action.
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CNBC's Jackie DeAngelis discusses the day's activity in the commodities markets and looks at where oil and precious metals are likely headed tomorrow.
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The euro rebounded from a near nine-month low against the dollar on Tuesday in a move seen as an overdue correction after falling two straight days, although its outlook remained bleak due to persistent sovereign debt stress.
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France's top AAA credit rating is likely to be downgraded and Germany could easily follow as the costs of bailing out weaker euro zone economies push up their own debt piles, says credit hedge fund firm Cairn Capital's chief investment strategist.
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Goldman Sachs on Wednesday reviewed its position on further monetary stimulus, saying that further quantitative easing had a greater than ever chance of being implemented in the United States.
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Bank deposits at the European Central Bank have more than doubled to a five-month high and European institutions are paying more for dollars, signs of concern that turmoil in eurozone bond markets could spread.
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The euro is expected to stay under pressure for the rest of the year, with one analyst expecting a further 7 percent decline against the U.S. dollar.
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Fitch Ratings said on Tuesday that it would regard a voluntary rollover of Greece's sovereign bond maturities as a default and would cut the credit rating appropriately, keeping pressure on Athens ahead of a confidence vote in parliament.
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Germany is increasingly concerned high energy prices will spill over into price rises the wider economy, a monthly report from the finance ministry showed on Monday.
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The Greek government expects parliament to vote on its medium-term austerity plan, a condition of a new international bailout, by the end of June, a senior government official said on Tuesday.
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The UK has failed to make enough structural changes to its economic model to avoid another financial crisis, Vince Cable, the UK’s Secretary of State for Business, Innovation and Skills told the New Statesman magazine.
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The World Bank expects the U.S. dollar to lose its solitary dominance in the global economy by 2025, as the euro and the renminbi establish themselves on an equal footing in a new “multi-currency” monetary system,**the FT reports.
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