Euro hits 14 month low against rival currencies

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Euro hits 14 month low against rival currencies

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The euro has fallen to a new 14 month low as world markets continue to reel over Greece’s economic woes. The currency’s mauling is being fuelled by fears of the debt crisis sweeping to other euro zone countries, particularly Spain and Portugal.

Europe’s main markets all opened slightly down but trading has been slow. The European Central Bank is holding its monthly meeting today in Lisbon and many investors are waiting to see what it has to say.

The cost of insuring Greek, Spanish and Portuguese debt has been rising daily. Yesterday, President of the EU Commission Jose Manuel Barroso, lashed out at speculators and rating agencies, threatening more regulation.

Asian markets also took a battering on Thursday, particularly Japan’s Nikkei. Stocks saw the biggest loss in one day since March last year.