With problems worsening in the Union many are asking what is next for the Euro zone . What will be essential for recovery and seems to be missing is a united front in which member states, leaders and members can cooperate on the options moving forward. The challenge therefore is to find a consensus that can cater for the diverse and often conflicting needs for all those involved.

The countries that need to balance their books the most – countries like Greece, Spain, Italy and also the Netherlands are becoming increasingly reluctant as to the long term impact of the austerity measures and their tendency to lead to stunted growth. It is also raising questions with France and the UK as to whether continuing to support the Single currency and the increasing bill required for bailouts is synonymous to favouring cut backs, an increasing budget deficit and concerns of worsening unemployment. Perhaps therefore we should be forced into addressing the growing support for the increasing opposition to austerity which are currently used as a catch all policy for all the wailing EU member states.

With Angela Merkel and President-Elect Francois Holland set for a face to face meet in the next 48 hours it will be interesting to see what conclusions they draw. With the political uncertainty surrounding the EU and Greece’s future involvement in the Euro zone on the brink it is a good time to be following the currency market. As it stands the 1.25 mark has just been breached providing an attractive opportunity for buying Euro’s. Make sure you speak to your currency broker about the emerging climate and its effect on the Sterling-Euro exchange rate, and likewise, if you are selling a position do not be caught out adverse market movements. Feel free to get in touch for further details on 0800 328 5884 0r cbk@currencies.co.uk