S&P made good on its threat to cut Greece’s credit rating, cutting it to A- a short while ago. Along with poor retail sales, that helped send EUR/USD tumbling. Spreads betwen German and Greek debt have widened to almost 250 basis points after the move. Internal instability within the eurozone can only undermine the single currency.
1.3070/80 remains key support as EUR/USD dances at 1.3110.
