Euro flat as eurozone agrees ECB banking supervision

<p>The euro is making marginal gains after new banking supervision agreements were signed off.</p>

The euro is flat in the opening forex trading session this morning (December 13th), as European finance ministers reach a deal on rules for supervising eurozone banks ahead of a crucial summit of European Union (EU) leaders.

Some 200 of the biggest banks of the region will fall under the supervisory gaze of the European Central Bank (ECB), which will act as the main overseer of these institutions.

"Piece by piece, brick by brick, the banking union will be built on this first fundamental step today," EU Commissioner Michel Barnier stated.

New rules on prudent banking are considered to be key in fortifying the single currency, as failures within the sector triggered the financial crash that has wounded the 17-member bloc.

The measures are also aimed at preventing banking failures ending up on the books of the eurozone's governments, leading to taxpayers footing the bill.

At 08:30 GMT, the euro appreciated by 0.2 per cent in trading with the pound to €1 buying £0.811, while it rose by 0.1 per cent versus the dollar to $1.309.

Find forex trading strategies for the euro at City Index.

Build your confidence risk free
Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.