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Romanian parliament: Could Bucharest soon head to the IMF? (Photo: Romanian Ministry of Foreign Affairs)

Eastern European markets take a beating

Eastern European currencies and stock markets tumbled on Tuesday while the euro slid to a three-month low against the dollar, as ratings agencies warned of the threat to western banks from the parlous state of economies in the east.

The euro fell more than two US cents to a two-month low. The German and French stock markets each declined three percent.

Shares in western European banks with heavy eastern exposure skidded, with Austria's Raiffeisen and Este Bank, France's Societe Ge...

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Romanian parliament: Could Bucharest soon head to the IMF? (Photo: Romanian Ministry of Foreign Affairs)

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