European Union Proposes Its Own Stimulus Package

by Trader Rich

Euro gains in forex tradingThe European Union is proposing its own stimulus package, with the European Commission calling on its 27 member states to help stymie the recession by spending around 6 billion (about 200 billion euro). The Street reports on the EU plan:

The proposed stimulus plan would represent 1.5% of EU gross domestic product. Around 170 billion euros would come from national governments and the rest from EU funds and the bloc’s lending arm, the European Investment Bank.

The news, along with speculation that monetary policy in the euro zone is likely to ease, is helping the euro gain in forex trading on the currency market.