A few things to remember at a time when it seems that everyone is so concerned about the Euro and the European economy:
The relative value of the Euro. The Euro-dollar value has seen its current low level of $1.3000 before (when the U.S. economy was much better in the early half of the 2000s), compared to the $1.6000 range during its better days.
Euro zone's stronger economies. For example, Germany and the Netherlands have economic growth rates in the high single digits, so much better than the U.S.'s and comparable to China's.
European economy outside the Euro zone. Noticeably, the UK, Denmark and Sweden as Non-Euro-zone countries have better economies than those of the weakest Euro-zone countries such as Greece and Portugal. Additionally, there are also countries like Switzerland and Norway that don't even belong to the European union but whose economies are definitely in better shapes than the worst economies inside the Euro zone.
Tight ECB (European Central Bank) monetary policy. The unaccommodating monetary policy may let go the economies of the worst performing countries but won't plague the whole system. On the other hand, run-away inflation can hurt all countries.
Finding new markets. Countries like Greece have been the markets for Germany and others beyond domestic expansion. Now these stronger countries just have to find new markets elsewhere to continually fuel their economic growth.
Therefore, European-related investments can also be good if guided by the right investment perspective.
Request a detailed report at Thumbtack, a service market where clients find their professionals.
The relative value of the Euro. The Euro-dollar value has seen its current low level of $1.3000 before (when the U.S. economy was much better in the early half of the 2000s), compared to the $1.6000 range during its better days.
Euro zone's stronger economies. For example, Germany and the Netherlands have economic growth rates in the high single digits, so much better than the U.S.'s and comparable to China's.
European economy outside the Euro zone. Noticeably, the UK, Denmark and Sweden as Non-Euro-zone countries have better economies than those of the weakest Euro-zone countries such as Greece and Portugal. Additionally, there are also countries like Switzerland and Norway that don't even belong to the European union but whose economies are definitely in better shapes than the worst economies inside the Euro zone.
Tight ECB (European Central Bank) monetary policy. The unaccommodating monetary policy may let go the economies of the worst performing countries but won't plague the whole system. On the other hand, run-away inflation can hurt all countries.
Finding new markets. Countries like Greece have been the markets for Germany and others beyond domestic expansion. Now these stronger countries just have to find new markets elsewhere to continually fuel their economic growth.
Therefore, European-related investments can also be good if guided by the right investment perspective.
Request a detailed report at Thumbtack, a service market where clients find their professionals.
