The euro's resilience has been vexing currency traders for the past year. Since the debt crisis erupted in the summer of 2010, the single currency has actually risen 7 per cent. On Wednesday, even as the euro dipped below $1.27 against the dollar for the first time since January, Citigroup, one of the largest foreign exchange dealers in London, said its clients were net buyers of the single currency.

But analysts now believe the single currency could be reaching a tipping point. Investor behaviour suggests that the props that have supported the currency in recent months are weakening.

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