With EU CPI easing yearly in April to 2.6% from 2.7% and with this current economic slowdown in EU, it is widely expected today to have new actions from the ECB to stimulate the European economy which dampened from another side by the worries about the Spanish banking sector and the unclear political situation in Greece which has triggered alarms in the markets weakening the investors' risk appetite as this can lead to Greece's departure out of the EU which can lead by its turn to more worries about highly indebted countries in the Euro zone comparing to their GDP such as Ireland, Portugal and Spain.

The greenback could find demand again after the risk appetite has got a new hit today by the released Chinese comments about its plans to not be aggressive in stimulating its economy while the worries about the Spanish banking system are still putting pressure on the single currency versus the greenback after it could raise its head over the 1.26 level in the beginning of the week following an opinion poll in Greece has shown rising of the pro-bailing out parties.

The single currency could hardly hover over 1.25 by the end of last week with increasing market worries about the debt contagion risks in the EU and the economic slow down which can lead to further ECB's easing steps by injecting more cheap money into its struggling banking system for reviving the economy and calling the market worries especially in the case of Greece's departure out of the EU.

The pressure is still continued at the single currency because of the political risks which threatening the union after Hollande's winning in France and the failure of forming a new government in Greece which will be waiting for another parliament elections next month by God's will.

The negative side of this critical situation is standing mainly over the short term to the single currency with the markets shrugging off any positive data or successful bonds auctions in the Euro zone focusing on these risks which can lead to expelling Greece out of the euro increasing the risks looming around other debt ailing countries like Ireland, Portugal, Spain and Italy.

The pressure is still continued at the single currency because of the political risks which threatening the union after Hollande's winning in France and the failure of forming a new government in Greece which will be waiting for another parliament elections next month by God's will.

The negative side of this critical situation is standing mainly over the short term to the single currency with the markets shrugging off any positive data or successful bonds auctions in the Euro zone focusing on these risks which can lead to expelling Greece out of the euro increasing the risks looming around other debt ailing countries like Ireland, Portugal, Spain and Italy.