Well it looks like Europe, and the world can breathe a sigh
of relief, New Democracy is predicted to win the election. SYRIZA has already
conceded defeat to their centre-right opponents. Although it looks like the
Euro is safe for now, the real test will be how the markets react later today.
Remember last week when everyone thought that the Spanish bailout would calm
markets? Well it didn’t calm them at all, and on the first day of trading after
the bailout, the markets fell significantly.
Although the markets are unpredictable, most people believe
that the markets will go up today. There was a lot of uncertainty surrounding
this weekend’s election and the election of a pro-bailout party will mark the
end of the uncertainty.
But don’t be fooled, the Eurozone crisis is far from over,
Greek debts are very high and the other PIIGS countries aren’t looking great
either. Spain appears to be edging closer and closer to a bailout from the
Eurozone and IMF. If the Eurozone leaders really want to give the markets
confidence, then they need to show strength and resolve the Euro crisis. If the
keep dragging their feet, who knows how long this crisis will last!
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