E.U. policymakers are trying to implement a permanent crisis resolution mechanism, fiscal reforms and macroeconomic rebalancing. However, selling these plans to the public seems to be politically tricky. [4 Things to Watch as E.U. Summit Kicks Off.]
While the EU printed more euros to help bankroll bailout packages, the euro currency is only down around 15% for the year, writes Karim Rahemtulla for Investment U. It may simply be the that the euro is only falling at a diminished rate as compared to the weakness of the dollar. Rahemtulla argues that the euro is on a downtrend since Spain and Portugal could very well be the next recipients of a bailout. [E.U. Summit: Where Do Euro ETFs Go From Here?]
For more information on the eurozone, visit our Europe category.
- iShares S&P Europe 350 Index Fund (NYSEArca: IEV)
- iShares MSCI Europe Financial Sector Index Fund (NYSEArca: EUFN)
- WisdomTree Dreyfus Euro (NYSEArca: EU)
- CurrencyShares Euro Trust (NYSEArca: FXE)
Read the disclaimer; Tom Lydon is a board member of Rydex|SGI.
Max Chen contributed to this article.