Lates News

Affected by the deepening French fiscal crisis and new political risks in Europe, the euro fell to its lowest level against the pound since June last year. The euro at one point dropped 0.4% to 0.8449 against the pound, breaking below the year-to-date low set in July. Earlier this week, the euro had already fallen to a 17-month low against the dollar, and on Wednesday it also underperformed most G10 currencies. France is currently facing intensifying pressure in the bond market. Missed fiscal deficit targets, policy deadlock, and the possibility of a major policy shift in next year's presidential election are all weighing on investor confidence. Marine Le Pen, the far-right French presidential candidate, called on Tuesday for the European Central Bank to intervene to reduce rapidly rising government financing costs. Turmoil in the French market has already spread to the European government bond market. Last week, European bonds suffered large-scale selling, once again evoking memories of the European debt crisis period.