The above has weighed on EUR/USD a little and we’re back down at 1.4485.
- Continues to hold view that there is 1 in 3 chance that ratings on Italy could bel owered within next 24 months
- Far more substantial reforms will be needed in light of Italy’s weak growth
- Italy austerity plans generally credible, but government could be overly optimistic on its fight against tax evasion
