Yesterday, Slovakia‘s much anticipated vote on the expansion of the EFSF threw another roadblock in the containment of the sovereign debt crisis in the eurozone. Slovakia was the last nation to vote — and the only to vote no.

There is still another vote coming, and the opposition is making some pretty strong demands of the current government in exchange for cooperation. As for the eurozone, this is just more proof of how slow things can move — the decision to expand the bailout fund has been in the works for months.

For now, the news isn’t affecting the euro that much in forex trading. Yesterday, the euro suffered a drop when the news came out. However, today risk appetite is back and the euro is higher on the FX market.

Investors are optimistic about bank recapitalization efforts, and that is driving the eurozone narrative today. For now, the news is reasonably good. But we will see what happens next, and whether the euro can hold on. 

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