The Bank of Ireland (nyse:ise), Allied Irish Bank (nyse:aib) and other Irish banks can look up (or down) to an example from a country considered to have a more solid economy: Denmark. Senior bondholders of Danish bank Amagerbanken are undergoing a haircut. Here’s a quote from Alphaville’s Tracy Alloway, that quotes CreditSights: This means that holders of senior debt and deposits over the €100,000 limit can expect a haircut of around 41% “¦While such action is easier in respect of a relatively small bank, this might well set a precedent for the way failing banks are treated in other jurisdictions For quite a long time, there’s talk about restructuring / haircut / default in Irish banks. The Irish opposition party Fine Gael openly calls for this, towards the general elections in Ireland. Their call answers the Irish people’s grievances about having to pay for the wrongdoings of the banks, and it is also based on the precedent in Iceland – where the government just let the banks fail, and the state recovered relatively fast. While Iceland is a small country and not a member of the EU, Denmark is considered a sound, solid country, and also a member of the European Union. This precedent could pave the road for defaults in Irish banks. Jean-Claude Trichet said that Ireland must respect the bailout plan, continuing the current path. He was asked about it in the recent press conference, where he played down inflation. Default for senior debt holders will set fire in the currently contained debt crisis. EUR/USD could fall below 1.30 once again. The pair is currently at 1.3550. For more on the common currency, see the EUR/USD forecast. Yohay Elam Yohay Elam Yohay Elam: Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I've accumulated. After taking a short course about forex. Like many forex traders, I've earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I've worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts. Yohay's Google Profile View All Post By Yohay Elam Forex Bits share Read Next AUD/USD Feb.08-Aussie Continues Rally against US Dollar Tamar Schoppik 12 years The Bank of Ireland (nyse:ise), Allied Irish Bank (nyse:aib) and other Irish banks can look up (or down) to an example from a country considered to have a more solid economy: Denmark. Senior bondholders of Danish bank Amagerbanken are undergoing a haircut. Here's a quote from Alphaville's Tracy Alloway, that quotes CreditSights: This means that holders of senior debt and deposits over the €100,000 limit can expect a haircut of around 41% "¦While such action is easier in respect of a relatively small bank, this might well set a precedent for the way failing banks are treated in other jurisdictions… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.