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Keep an eye on the Euro

Posted on May, 7, 2012
We have a new French president, and this is big news for the markets, especially for the Euro. Binary options traders should watch closely the political developments in France, as the following weeks are crucial to the evolution of the common currency. François Hollande has pledged during his campaign to fight against the financial system and to stop the austerity strategy imposed by the Merkozy rule of the EU. He wants to renegotiate the fiscal agreement and to increase the tax burden of the rich in France. All his agenda is bad news for the Euro, and if he will stick to it we could see the Euro plunge against the US Dollar and the GBP. However, if he changes his tone and becomes more moderate on those matters, the Euro could survive again and keep it's strength, or even increase momentum.
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