Excerpt from: Forex News
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| February 20, 2009 | | Will Chinese capital help the euro in forex trading? | For years, the U.S. has been the main recipient of Chinese foreign investment: China is the largest holder of U.S. government debt. (And this has kept the U.S. from making good on its political and economic complaints.) Now, though, China begins to see the value in diversification. And the current global economic recession offers the perfect chance for China to branch out and buy something new.
China has its sights set on Europe right now. Rumor has it that China is especially interested in make deals that will allow it to invest in energy and high technology. The idea is that with Western assets so cheap, China can get a good deal now and prepare for the future.
The question with regard to the currency market, though, is this: Will an infusion of Chinese capital help the euro in forex trading? It might. If Chinse cash can help some companies -- and the euro zone economy -- things might turn around for the euro in forex trading, helping the 15-nation currency out of its current funk.
| Topic Tags: Chinese capital, Chinese investment, currency market, economy, energy, euro forex trading, euro zone, forex trading | |
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