The European currency has started this week with stabilization vs the US dollar and slower weakening against the yen and franc. Moreover, the euro has even posted gains vs the majors "as the market calms down after the first negative reaction to the general elections in Italy", according to Interfax.
This morning euro was priced at $1.2319 ($1.2317 at the end of the previous session in New York). The rate to yen decreased to 130.02 (130.26).
Euro is getting support from the German reports about the formation of a government. The forming process started back in September, and the parties have finally come to terms last weekend. As a result, it has been created "large coalition" with Angela Merkel's block of the parties.
At the same time, the reports from Italy failed to so bright. According to the media news, none of the Italian parties secured the majority at polls after the general elections held last Sunday.
"The markets ignore the shock after the elections, though such an indifference cannot last long," commented Silvia Dall'Angelo. Moreover, she also reportedly noted that Italy has already got over political instability adding that the country saw 65 governments in the office since the World War II.