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5 Jan 2015
Euro in free-fall on Grexit talk
FXStreet (Bali) - The US Dollar opened Asia making strong gains against G10 complex, with the Euro and Pound being especially heavy, down more than 1 full cent from last Friday's close, printing new lows at 1.1850 and 1.5152 respectively.
The heaviness in the Euro appears to be an over-reaction in thin market conditions to news breaking over the weekend, in which German Chancellor Merkel said to be prepared to allow Greece to leave the Eurozone if an anti-austerity govt wins the elections, Der Spiegel reports.
"The German government considers a eurozone exit by Greece to be almost inevitable if opposition leader Alexis Tsipras leads the government after the election and abandons budgetary discipline and does not repay the country's debts" the report notes.
The heaviness in the Euro appears to be an over-reaction in thin market conditions to news breaking over the weekend, in which German Chancellor Merkel said to be prepared to allow Greece to leave the Eurozone if an anti-austerity govt wins the elections, Der Spiegel reports.
"The German government considers a eurozone exit by Greece to be almost inevitable if opposition leader Alexis Tsipras leads the government after the election and abandons budgetary discipline and does not repay the country's debts" the report notes.