Analysis: no end in sight to euro weakness
Panic appears to rule the world’s most liquid financial market, the foreign exchange market. The Bank of England had to announce emergency measures on Wednesday to stop the pound’s dump. Behind the panic is a systemic crisis: a dramatic fall in European currencies against the dollar, an analysis shows.
Not only the pound, but also the euro has been failing against the dollar for more than a year. Falling currencies are eating into investors’ returns and specialists believe that their devaluation against the dollar will not bottom out for the time being.