French Support of Eurozone Reaches Multi-Year Highs: Euro Currency Demand to Remain Firm

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The sentiment tide has turned favorable for the euro.

The types of existential threats which hampered the euro currency during the European debt crisis have largely receded for the time being.  EU citizens do not seem particularly interested in following the UK down the path of currency devaluation, inflation, and political turmoil by leaving the eurozone.

Demand for the single market currency will remain firm as the European economy continues its stable trajectory and the initial consequences of Brexit serve as a deterrent to others.

Longer term, we do expect to see perceptions improve regarding the decision by the UK to leave the European Union as the UK economy re-balances and the worst fears are not realized. Life will go on for Britons. There will eventually be appreciation for the modest claw back of British sovereignty, though the UK and EU will remain close economic allies out of geographic proximity and necessity.