Euro falls after violence erupts in Spain over Catalan independence vote


Violence over Catalan independence referendum

The euro has fallen in overnight trading on the news of violence in Spain as Spanish police tried to stop Catalan attempts to conduct a referendum on the independence of the region.

However, despite hundreds of people getting injured, over 2 million Catalans managed to defy the Spanish government’s attempts to hald the independence referendum.

Some 2.3 million of the 5.4 million eligible voters managers to cast their votes on Sunday, and the Catalan government has revealed some 90% were in favour of independence.

As a result, Catalan president Carles Puigdemont has said the region may be moving towards a unilateral declaration of independence as early as this week.

He also appealed to the European Union for support, saying “the Catalan citizens have won the right to have an independent state”.

On the news, the euro fell 0.4% against the dollar to $1.1766 in overnight trading. 

Although a declaration of idependence would have no legal force, according to Bloomberg, the recent events represent an unprecedented challenge to the Spanish goverment as officials struggle to enforce law in the rebel region. 

About the author

Anna is news editor at Investment Week, having joined the title in January 2013. She covers the ETF beat and is responsible for the regular podcast series.

Prior to this role, she worked at Investment Europe covering European investment markets. She began her journalism career at Euromoney Institutional Investor in 2011.

 

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