US Economy Still Key For Euro

MARKET NEWS

In spite of some positive news for the eurozone and a growing acceptance of the European Central Bank’s interest rate stance, the US economy is still the pivotal influence on the euro. Matthew Clements, economist at Prebon Yamane in London explains

Net outflows of direct and portfolio investment funds from the eurozone fell significantly in February (see chart 1) as the first signs of a US slowdown started to appear. A general improvement in funds flows in the eurozone’s favour since

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