The markets gave an initial thumbs-up to the weekend announcement of the Spanish bank bailout, but the euphoria quickly evaporated, as EUR/USD plunged almost two cents yesterday (June 11th). This declaration lacks details and the timing shows that it is a move intended to contain possible fallout from the next weeks’s elections in Greece. To add to this volatile mix, Italian issues remain on the agenda. The US Federal Budget Balance will be released later today, and the markets are bracing for a huge deficit for May. If the reading is worse than the market forecast, the greenback could lose some ground.
Here’s an update on technicals, fundamentals and what’s going on in the markets.
Read the rest of the article [B][I][URL="http://www.forexcrunch.com/eurusd-june-12-jittery-markets-digest-spanish-banking-bailout/"]EUR/USD - Jittery Markets Digest Spanish Banking Bailout[/URL][/I][/B]
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