euro

Capital Economics has lowered its year-end forecast for 10-year US treasury and UK gilt yields in light of a deteriorating growth outlook.

Henderson's head of fixed income John Pattullo said Europe must print money and recapitalise its banks in order to combat its sovereign debt crisis.

Last week's decision by the Swiss National Bank to cap its exchange rate to a minimum of CHF1.20 to the euro will not rescue the Swiss economy, said Jennifer McKeown, senior European economist at Capital Economics.

PREPARING FOR GREECE TO EXIT THE EURO

The Swiss franc has fallen 9% against the euro after the Swiss National Bank (SNB) said it was setting a minimum exchange rate against the single currency.

Industrial production in Europe fell in June at the fastest rate since the start of the year, deepening fears economic growth will be hampered by the sovereign debt crisis.

Major companies favoured by leading European fund managers are facing severe price pressures as the global flight to safety propelled the Swiss franc to new heights today.

GERMANY SHOULD EXIT EURO

European markets have surged on reports eurozone leaders will back a 'selective default' on Greek debt.

Investment Week and our sister title InvestmentEurope provide ongoing updates of the latest industry thoughts around today's crisis talks on the future of the euro.