Microsoft Nokia deal unlikely to impact EUR/USD

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Software giant Microsoft will buy the mobile department of the Finnish company Nokia for around 7.2 billion dollars. This is big news in the world of smartphones and for anyone interested in these industries.

However, the buying of a euro-zone company by a US company is unlikely to have a positive impact on EUR/USD, even though the deal is expected to consist mostly of cash.

The value of the deal is relatively small in terms of forex: the deal between Verizon and Vodafone is much bigger, around $58 billion, and is expected to have a minimal impact.

In addition, Microsoft is expected to allocate money for the transaction from various countries outside the US for this deal.

The third reason is the timing of the deal: the first quarter of 2014. There is still a lot of time until then.

Nokia’s workers are expected to move to Microsoft’s payroll, but also here, both companies are multinationals, and the move isn’t expected to impact currencies.

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About Author

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.

1 Comment

  1. Help! I dropped my Nokia E51 in water and now the keypad doesn’t work. The on/off button still works and pple can ring/text me but I can’t answer/text back

    Does anybody know how to fix this?

    Thanks!