News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Mixed
Oil - US Crude
Bearish
Wall Street
Mixed
Gold
Bearish
GBP/USD
Mixed
USD/JPY
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 93.98%, while traders in EUR/USD are at opposite extremes with 74.92%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/7FFcpg0VCR
  • Heads Up:🇿🇦 ABSA Manufacturing PMI (NOV) due at 09:00 GMT (15min) Previous: 60.9 https://www.dailyfx.com/economic-calendar#2020-11-30
  • Heads Up:🇵🇱 GDP Growth Rate QoQ Final (Q3) due at 09:00 GMT (15min) Expected: 7.7% Previous: -8.9% https://www.dailyfx.com/economic-calendar#2020-11-30
  • Heads Up:🇵🇱 GDP Growth Rate YoY Final (Q3) due at 09:00 GMT (15min) Expected: -1.6% Previous: -8.2% https://www.dailyfx.com/economic-calendar#2020-11-30
  • Commodities Update: As of 08:00, these are your best and worst performers based on the London trading schedule: Gold: -0.51% Oil - US Crude: -0.83% Silver: -1.82% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/tchr3QNwhK
  • Forex Update: As of 08:00, these are your best and worst performers based on the London trading schedule: 🇨🇭CHF: 0.20% 🇬🇧GBP: 0.20% 🇪🇺EUR: 0.06% 🇳🇿NZD: -0.00% 🇯🇵JPY: -0.05% 🇦🇺AUD: -0.07% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/cLSIr0JzHI
  • 🇨🇭 KOF Leading Indicators (NOV) Actual: 103.5 Expected: 101 Previous: 106.3 https://www.dailyfx.com/economic-calendar#2020-11-30
  • DAX 30 Index May Fall as Germany Extends Nationwide Partial Lockdown - https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/euro_open/2020/11/30/DAX-30-Index-May-Fall-as-Germany-Extends-Nationwide-Partial-Lockdown.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Moss&utm_campaign=twr $DAX #DAX30 #GER30 https://t.co/KlKH99Yya4
  • 🇨🇭 KOF Leading Indicators (NOV) Actual: 103.5 Expected: 101 Previous: 106.6 https://www.dailyfx.com/economic-calendar#2020-11-30
  • Indices Update: As of 08:00, these are your best and worst performers based on the London trading schedule: FTSE 100: -0.48% Germany 30: -0.52% France 40: -0.60% US 500: -0.73% Wall Street: -0.87% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/1BDhkhOZcT
Long-Term Risks for Euro from German Political Turmoil

Long-Term Risks for Euro from German Political Turmoil

2018-02-15 11:36:00
Martin Essex, MSTA, Analyst
Share:

EURUSD talking points:

- The formation of a new coalition government in Germany is still far from certain.

- A setback would likely undermine the Euro despite the probable ending this year of the ECB’s bond-buying program.

Learn how to trade like an expert by reading our guide to the Traits of Successful Traders

New to forex and want to find out more about trading EUR? Take a look at our Forex Trading Guides

Euro to suffer if German political stalemate persists

A key date for Euro traders to note in their diaries is March 4: the day when we’ll know whether members of Germany’s Social Democratic Party (SPD) have voted in favor of a coalition with Chancellor Angela Merkel’s conservative bloc. If the vote is against, the Euro will likely sell off despite the support it is currently receiving from the prospect that the European Central Bank will this year end its asset purchase program designed to stimulate the Euro-Zone economy.

By coincidence, March 4 is also the date of the Italian general election, providing an additional layer of risk for the Euro, which coninues to march upwards against the US Dollar.

EURUSD Price Chart, Daily Timeframe (October 16, 2017 to February 15, 2018)

Long-Term Risks for Euro from German Political Turmoil

Chart by IG

The SPD’s 464,000 members will start voting in a postal ballot on February 20 on a government program agreed last week by the political rivals. Many oppose a deal, as do many in Merkel’s bloc, and failure to approve the agreement would likely result in the end of Merkel’s career and fresh elections that would continue the political uncertainty.

As for Italy, the election there could deliver many of the same problems facing Germany: the prospect of a fractious coalition or a lengthy stalemate leading to fresh elections.

--- Written by Martin Essex, Analyst and Editor

Feel free to contact me via the comments section below, via email at martin.essex@ig.com or on Twitter @MartinSEssex

For help to trade profitably, check out the IG Client Sentiment data

And you can learn more by listening to our regular Trading Webinars

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES