EUR/USD back down as investors continued to worry about the condition of Greece and Spain and the EU situation that does not seem able to cope with everything. Most of the global economies are pointing towards the EU as the overall factor weighing down their economy. The IMF revisions in growth shows the contagion affects around the globe Caused by the ongoing EU dilemma. No matter how much the government stimulus around the globe approve, without a turnaround in Europe, it will be just good money after bad. China will not be Able to pull out of its slump unless the EU begins to order goods and the U.S. will not be Able to see earnings and growth, while the EU sucks down the profits of global companies.
Spanish bond yields rose after euro zone Finance Ministers said on Monday that Madrid do not need a bailout, adding to uncertainty about when the country will ask for aid, Widely seen as inevitable.
Concerns about Greece issue also resurfaced after the European Central Bank chief Mario Draghi told the European Parliament Committee that Greece has made progress on reforming its economy, but has more work to do.
Adding to the negative sentiment, the IMF cut its global growth forecasts for the second time since April and U.S. and European policymakers warned that failure to fix their economic ills would Prolong the slump
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