Business
Wednesday January 14, 2015
For the first time since December 2005
The euro fell below the rated value at launch for the first time since December 2005 when touching $ 1.1726.
The common European currency marked that value after the Court of Justice of the EU-ahead to let approve ECB bond purchases.
In this way, the euro recorded its lowest since December 8, 2005, when he scored an intraday low of $ 1.1700.
In addition, its value is placed below $ 1.1740 recorded at its launch in January 1999.
The Advocate General of the Court of EU, Pedro Cruz Villalon, ruled that the purchasing plan unlimited public debt (OMT, for its acronym in English) announced by President of the European Central Bank, Mario Draghi, in the summer of 2012-and who is credited with bringing an end to the crisis that threatened the existence of the euro supports “in principle” with the EU Treaties.
However, Cruz Villalon said that, when it starts, this plan must meet certain conditions to comply with Community law.
In particular, the ECB has to justify why active buying debt and implement the plan in proportion and cautiously to avoid speculative behavior in the market
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