Lacklustre US data led to euro strengthening against the dollar while Oil prices climbed on Tuesday. The rise in oil can be attributed to euro’s recovery against the dollar because oil, which is traded in dollars, is automatically correlated with any price changes on the dollar. The single currency climbed to $1.3047 late Monday…

Eurozone sentiment fell due to concerns over Cyprus and the looming banking crisis in Slovenia. The zone is currently stumbling from one crisis to another, simply trying to put out bush-fires to keep the fragile single currency afloat ahead of the coming storm. The Italian election pushed the consumer index down last month and the month April seems to be repeating the negative sentiments due to Cyprus and Slovenia…

Although markets were closed on Sunday, eurozone continued to cause concern as rumours were running wild that Slovenia would be the target of the next bailout. According to reports, the Slovenian government has refused to privatise its banks and thus spurred the downfall of its banks that gave massive loans to shady businesses…

The botched attempt to rescue Cyprus weighs heavily on ECB and its chairman Mario Draghi who is
expected to provide answers and a possible Plan B as the ECB meets on Thursday. Investors are not
holding their breaths as the eurozone has shown itself to be a poor fiscal act with policies largely
dictated by domestic politics and not sound fiscal policies…