Euro Moves Lower in Forex Trading on Debt Concerns

The euro is moving lower in forex trading against the U.S. dollar as risk aversion remains high -- and as concern over euro zone debt takes the forefront. Euro zone member nations are seeing dangerously high debt, and this is prompting some flight away from the 16-nation currency today. GFT's Boris Schlossberg reports on euro zone debt:

The overnight drift in the EUR/USD was triggered partially by a bearish column in UK Telegraph by Ambrose Evans-Pritchard who noted that the public debt of various EZ member nations was beginning to climb perilously close to 100% of GDP. In Spain the protracted recession could push the debt levels to 90% by 2011. In Italy the numbers are rising to 116%, Greece to 109% Belgium to 101% and France to 86%.

Of course, the U.S. isn't in a position that is much better. U.S. debt continues to grow, and California is on the verge of complete and utter meltdown. Not only is California a major component of the U.S. economy, but it is also the 8th largest economy in the world.

Both the U.S. and the euro zone have ticking time bombs of debt. The only real question at this point is this: Which will go off first?