Smart Currency Business Director Carl Hasty speaks to the press about the impact of elections, changes in national government and international events which could effect financial and currency markets.
“With the silly season behind us for another year, everyone
is turning their attention to the year ahead and pondering the likely impacts
on business operating conditions.
One often overlooked aspect for international traders is
elections and leadership changes, which have the potential not just to affect
domestic policy within that country but a variety of conditions including the
currency, taxation, import duties and so forth. Currencies are particularly
vulnerable to the uncertainties created in the days and weeks leading up to an
election as speculation mounts on who will govern the country.
Israel is getting restless in the lead up to an election in
2013 and the Australian minority government is trailing in the polls with an
election due by November. However, the uncertainty created by elections will be
felt nowhere more sharply this year than in Europe, where most governments’
popularity is suffering at the hands of austerity measures. Italy goes to
the polls at the end of February, following Prime Minister Monti’s decision to
step down.
More significant though will be Germany’s general election,
when the rest of the world will be anxious to see whether Angela Merkel retains
power and with it her grip on the Eurozone debt crisis negotiations. At
present, it seems uncertainty itself is the only sure bet, meaning the world’s
key currencies – particularly the Euro – may be in for a bumpy year ahead.”
For more information on Smart Currency Business call: 0845 638 0571 (or +44 (0)207 898 0541 from outside the UK) or visit our website at: SmartCurrencyBusiness.com
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