Euro plunge in Asian trade

Euro plunge in Asian trade

The euro plunged in early Asian and Pacific trade after elections in France and Greece rekindled concerns over Europe's sovereign debts and credit problems.

Moves to sell the euro and buy the yen on Australia's Sydney money market early on Monday sent the euro to the lower 103-yen.
Media reports US President Barack Obama has telephoned France's new president-elect Francois Hollande to congratulate him on winning Sunday's presidential runoff.The White House says Obama told the leader of France's largest opposition Socialist Party that he looks forward to working with him on a range of shared economic and security challenges.

Hollande needs  tough talks with Chancellor Angela Merkel on her  tight fiscal restraints Germany has imposed on the Eurozone.Failing to reach logical end  Merkel is unlikely to back down, the joint currency could be back at the brink of meltdown in a matter of weeks. Euro to plunge in Asian and Pacific trade after elections in France and Greece rekindled concerns over Europe's sovereign debts and credit problems.

Hollande did  promised his voters that he would defy the current trend of austerity being preached in the other capitals of Europe. His generous spending plans which will cost at least 20 billion Euros and employing sixty thousand new teachers, in time of crisis a bleak fiscal reality.