FXWire Pro Headline | February 28 2013 8:39 EST
Quotes from Western Union Business Solutions:
-Key to this month's outlook will be the ECB's policy meeting atthe beginning of March, where staff projections for growth and inflation will be revised. The European Union Commission announced that they lowered growth forecasts for the euro zone to -0.3% in 2013. This would suggest that investors need to brace themselves for two consecutive years of negative growth.
-A more dovish outlook at the ECB, compounded by weak economic data or a downward revision to growth by the ECB, will hamper any upside prospects for the single currency. Furthermore, the longer investors have to endure uncertainty in Italian politics, the more damaging it could be for the euro. The euro will face a stormy start to spring, but investors should not fear a complete sell-off.