Monday saw the shared currency of the European Union begin recovering from falling to its lowest value against the Japanese yen in one decade, Bloomberg reports.
Analysts attribute the monetary unit's struggle to challenges in dealing with and repeated failure to effectively confront the sovereign debt crisis. While economic growth is slowing, demand for regional assets also is drying. As Greece still resides in the unattractive limelight of waiting on bailout aid to make repayments on an earlier bailout, the euro's value has suffered against the majority of its counterpart currencies.
"There needs to be a global coordinated plan put in place to address the debt crisis and the capitalization of banks to re-instill faith in the world's financial system," Derek Halpenny, European currency research head with Bank of Tokyo-Mitsubishi UFJ, told the news service. "Without that, Europe will keep coming up short."
The euro began bouncing back from the reduced value against the monetary unit of the Pacific Rim nation while also climbing in value against the dollar, against which it had scraped eight-month lows, according to Reuters.
The wire service reports investors and observers continue expressing worries about policy makers' abilities to effectively execute moves that will prove effective against the sovereign debt scourge.
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