» “Zen International”– Euro Stabilization Not A “Slam-dunk”… Submit Press Releases

“Zen International”: The €750 billion support for the euro cannot solve the underlying cause of the Eurozone’s problems.

“Zen International”: The mammoth €750bn euro stabilization fund announced by the European Union has not prevented the single currency from paring its one day gains against the US dollar and other currencies.

“Zen International” analysts say that this is because the package fails to address the underlying cause of the problem in several of the EU states using the euro and merely seeks to solve debt problems with even more debt.

The euro gained sharply against the greenback Monday but by the end of the day’s trading, it had given back much of those gains as investors began to realize that there were still reasonable doubts as to whether nations like Greece would be able to reduce public spending and raise taxes sufficiently to meet the conditions of the initial bailout.

Opposition to the EU/IMF aid package has been fierce among Greece’s beleaguered citizens who feel they are being asked to pay for the reckless and profligate borrowing of successive Greek governments.

“Zen International” said that the stabilization plan was effectively a last ditch attempt to save monetary union and it was difficult to see what else could be done if the euro continued to come under sustained attack in the currency markets.