While volatility levels have been dropping in forex markets recently fault lines in the Eurozone have been deepening, which could see the Euro under pressure come September when institutional investors return to their desks and re-evaluate Eurozone asset markets. Asset markets have generally been soothed by comments supporting economic growth from the US Federal Reserve, European Central Bank and China’s leadership. For instance, yields on Italian and Spanish government bonds have tightened. However, the situation in the Eurozone remains deeply troubling and could soon result in another round of volatility, which ... (full story)