{"id":15535,"date":"2010-11-18T08:05:30","date_gmt":"2010-11-18T13:05:30","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=15535"},"modified":"2010-11-18T08:05:30","modified_gmt":"2010-11-18T13:05:30","slug":"ireland-in-bailout-negotiations-with-euimf-delegation","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/11\/18\/ireland-in-bailout-negotiations-with-euimf-delegation\/","title":{"rendered":"Ireland in Bailout Negotiations with EU\/IMF Delegation"},"content":{"rendered":"<p><strong>By Russell Glaser<\/strong> &#8211; Headlines today are reporting a joint EU\/IMF proposal to save the  Irish banking system in order to prevent a spread of panic to the rest  of the euro zone. This is despite public statements from the Irish  government that is determined not to cede control over its finances to  outside influences. The bailout may be enough to prop up Ireland but may  not save periphery Europe from further contagion problems which would  be a negative for the euro.<\/p>\n<p>A packaged deal by the EU\/IMF to support  the collapsing Irish banking system is being strung together in  negotiations with Irish government officials.<\/p>\n<p>The EU\/IMF bailout would come on top of the already 50 billion euros  ($67 billion) aid package the Irish government has pledged to prop up  its banking system. The largest Irish banks are crumbling due to poor  performing property loans. Officials are currently examining the  finances of Irelands banking system to identify those banks that will  need more funding as the EU\/IMF is of the opinion that the present Irish  bailout plan will not be sufficient.<\/p>\n<p>However, the 750 billion euro EU funding mechanism for member states  is designed to be activated once a state requests aid. Ireland has been  adamant in its refusal to accept outside aid while ceding control of  their financial destiny.  The <a href=\"http:\/\/www.forexyard.com\/blog\/en\/2010\/11\/17\/dollar-stronger-and-crude-oil-weaker-after-morning-trading\/\">EU\/IMF <\/a>has  an interest in arriving at a deal with Ireland to prevent contagion.  The longer the crisis carries on, the greater the chance market fears  will spread to other EU periphery states such as Spain, Italy, and  Greece.<\/p>\n<p>Should the Irish banking\/debt crisis carry on it will weigh on the EU and be a negative for the euro.<\/p>\n<p><a href=\"http:\/\/www.forexyard.com\/blog\/en\/2010\/11\/17\/eurusd-%e2%80%93-where-does-the-pair-go-from-here\/\">Technical studies<\/a> suggest the EUR\/USD is in line for a bearish correction with the next  price target for the pair resting at 1.3270.  Traders should remember  the previous fiscal crisis with Greece led to the EUR\/USD trading as low  as 1.1875.<\/p>\n<p><em><strong>Forex <\/strong><strong>Market Analysis provided by<span style=\"text-decoration: underline;\"> <a href=\"http:\/\/www.forexyard.com\/?zone_id=1398\" target=\"_blank\">ForexYard.<\/a><\/span><\/strong><\/em><\/p>\n<p>\u00a9 2006 by FxYard Ltd<\/p>\n<p>Disclaimer: Trading Foreign Exchange carries a high level of risk and                                                                                                                                                          may         not       be                   suitable         for             all                                   investors.                     There             is     a                                                              possibility                      that                                you                  could                           sustain  a           loss                of      all              of                your                                                      investment        and                                             therefore       you                                     should          not                           invest                            money          that             you                                      cannot                      afford   to                               lose.         You                                  should            be                   aware            of                        all               the               risks                                            associated                  with                      Foreign                               Exchange                                   trading.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Headlines today are reporting a joint EU\/IMF proposal to save the Irish banking system in order to prevent a spread of panic to the rest of the euro zone. This is despite public statements from the Irish government that is determined not to cede control&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-15535","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/15535","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=15535"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/15535\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=15535"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=15535"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=15535"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}