Italian politics dominated Monday's activity. Initially, the euro reacted positively in Asia to news that the Italian President had blocked the proposed finance minister. A technocrat government would be appointed to prepare for new elections. The euro reversed course by midday in Asia, several hours before European markets opened. The move accelerated and by midday in Europe, with London markets on holiday as well as the US, the euro was threatening the six-month low set at the end of last week a little below $1.1650. The selling pressure eased as the euro approached $1.1600. Recall that the euro has trended lower ... (full story)