When financial markets have been eyeing on issues such as China-U.S. relations, the U.S. presidential election and the second wave of the pandemic, Europe seems to be gearing up for a black swan, an event in which a deterioration will trim the recently weak euro even lower.To get more news about WikiFX, you can visit wikifx official website.
A barrage of large-scale demonstrations broke out after Belaruss presidential election because local people suspected Lukashenka conducted ballot rigging and called for his resignation. With an 80% approval rating and the strong support from Russian President Vladimir Putin, Lukashenka won the re-election and refused to step down, which worsened the situation on the ground.
The European Union officially refused to recognize Lukashenka as the new
president of Belarus, saying the announced results were fraudulent and
did not convey legitimacy. At the same time, the UK declared it would
impose sanctions against Belarus while French President Emmanuel Macron
also called on Lukashenko to step down. Nevertheless, the Belarusian
government still took a hard line and accused outside meddling in the
internal affairs. It seems Belarus is seeing further deterioration
rather than embracing a peaceful settlement.
While the ostensible opponent of the EU is Belarus, the actual one
is Russia. The battle between the two sides over the Belarus dispute
will upgrade the tension in Europe. Once the situation in Belarus gets
out of hand, the euro may swallow a bitter pill.
In the financial market, several events have staged their performance:
the UK-EU trade talks from Monday to Friday, the first US presidential
debate and the release of US GDP on Wednesday, the EU summit on
Thursday, and the release of US jobs data on Friday. The EU summit was
expected to see the sanction against Belarus unanimously passed, thus
Russias response would be thrust into the spotlight. These events would
spoil the fun in the financial market.
