Political analyst Kamel Wazne told RT that Netanyahu will be faced with a lot of horse-trading both at home and abroad once all is said and done with the elections. “He came very weak, and he’ll need probably to go to the extreme right,” Wazne said. But this is not going to be easy, as Netanyahu has to deal with Obama and his new administration.
“The way he’s taken the Middle East – he probably has taken it into escalation where the Americans at this point are looking to close some file in the Middle East and move to South-East Asia. I don’t think they wanted any new war, especially against Iran at this time.”
- Dark horse in Israel election won’t obstruct new Netanyahu government, RT.com, January 24, 2013.
3. The euro fell against the dollar and yen on Thursday on lingering concerns about the political crisis in Italy with investors and speculators seeing little reason to buy the currency.
The euro had pared some of its losses earlier today after the sharp sell-off this week when elections in Italy yielded no clear winner, fuelling concerns it would not be able to push through reforms and reigniting the debt crisis.
Analysts said the euro could show some resilience today and trade above $1.3000 due to month-end demand, but it would be unable to make any notable gains given the continuing political uncertainty….
“We have got a lot of Italian election uncertainty in the next two to three weeks. There is going to be a lot of political horse trading going into March 15, when the parliament reconvenes, which doesn't sound like it is going to be good for the euro,” said Chris Turner, head of FX strategy at ING.
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