Euro Falls to Lowest Since 2003 on Syriza Victory; Krone Slides
 The euro touched an 11-year low as a party committed to renegotiating Greece’s international bailout won a victory in weekend elections, setting up a possible confrontation with the nation’s European partners. The shared currency reversed earlier losses as a technical indicator signaled it was oversold after Syriza leader and Greek Prime Minister-elect Alexis Tsipras said the era of bowing to international demands for budget cuts was over. Norway’s krone and the Australian dollar slid as a slump in oil damped demand for commodity currencies. China’s yuan declined for a second day. “What we do think this outcome brings is once again volatility back to the fore,” Ben Pedley, head of investment strategy for Asia at HSBC Private Bank in Hong Kong said in an interview with Bloomberg’s “On The Move” with Rishaad Salamat. “We think Greek exit is a very, very low probability or possibility.” The euro was little changed at $1.1203 at 7:22 a.m. in London after sliding to $1.1098, the weakest level since September 2003. The common currency climbed 0.3 percent to 132.38 yen after weakening to 130.15, the lowest since September 2013. The yen slipped 0.4 percent to 118.19 per dollar. Tsipras, addressing supporters in central Athens on Sunday night after outgoing Prime Minister Antonis Samaras conceded defeat, said the new government’s priority “will be for Greece and its people to regain their lost dignity.” |
