Euro-crisis through the eyes of the East

Market Leader informed

The deepening crisis of the common European currency is political rater then economic one. It seems that Western Europe is about to face an epoch of “new” nationalism, but it is not about some hostility.

Everything is commonplace. The European Union has lost its confidence in the future.

Most countries of the world have always considered Europe as some monolith, entity. Now everything has radically changed. The authorities of the EU states have turned from the like-minded into those who defend their own national interests. Previously it was Great Britain that served as the symbol of sovereignty in Europe. Now it can be said about the entire European Union.  The EU governments are desperately trying to gain support at home.

Ireland, the last EU country that got under the pressure of the debt crisis, is in panic, being afraid of losing its independence and get under control of the IMF while Germany is showing its discontent as it has to pay for its spendthrift neighbors.

The so-called peripheral countries are trembling at the thought of Germany becoming the “owner” of the entire EU. Not long ago the EU used to be the guarantor of stability for its members. Now everything has changed. The EU membership causes extra problems for some countries. The EU starts yielding to the East.

Now it is obvious that the origin of the Euro crisis is in the so-called “liquidity bubble” preceding the financial shocks. It is also obvious that the politicians are unable to gain full control over the situation. Germany starts differentiating between its own interests and EU problems.

In reality, everything is not that hopeless. Euro can be saved as the ECB can repurchase all the bad debts. The thing is to save the fragile economic balance in Europe. Of course, financial restrictions are inevitable but the EU shouldn’t outcast Ireland, Spain and Portugal. The task is to prevent Germany from restructuring the EU according to its own interests.

Another question is how Europe will manage to fit into the world the center of which gradually shifts towards the Asian-Pacific region.

Today 6ECONT is firmly settling above the volume of the current contract at 1.3386 (6100 lots). According to some experts from the Department of Market Volume Analysis, Masterforex-V Academy, the EURUSD futures will retain its upward dynamics until the given level is overcome.

 

 

 

Source: Market Leader

 

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