02.06.11

Single currency benefits from raft of euro positive news

The euro rallied across the board today which kicked off with results of the Spanish auction producing a very healthy bid to cover for both the 2014  and the 2015 offerings The auction provided a fillip for the Euro taking it to its best levels of the session versus both the dollar and the yen. News then hit the wires reporting that Greece had agreed to new austerity measures. Very soon after we heard from the head of the ECB, Jean-Claude Trichet, calling for the creation of a single Euro-zone finance ministry with jurisdiction over some areas national budgets and greater integration of economic and fiscal policy within the Euro-zone area. The Euro continued the rally on the back of this, once again posting new highs.