Greek continues to weigh on the euro

22 June, 2015

Allan von Mehren, Senior Analyst at Danske Bank, sees the Greek drama still being the main drag for the single currency, while he expects spot to grind lower.

Key Quotes

“The Greek end game will most certainly dominate FX markets this week”.

“In recent weeks we have seen that a widening in peripheral bond yield spreads to core has not been the EUR negative factor it used to be, which probably reflects that aGrexit is not regarded the disaster it could have been a few years ago due to the possibility of the ECB expanding its QE scheme and limiting contagion via the OMT programme”.

“While we maintain that a deal will be struck, there is clearly a risk of this not happening and in our view a Greek default would be a EUR negative as it would spur the pricing of the ECB expanding its bond buying”.


Source link  
EUR/GBP hits fresh highs

The British Pound faded UK manufacturing PMI-led minor up-tick, lifting the EUR/GBP cross to fresh highs since mid-March...

Oil sees a flash crash

Oil prices on both sides of the Atlantic witnessed a sharp downward spike, following comments from oil ministers of leading OPEC producers...

Euro under moderate pressure

The research team at Lloyds Bank explains that the euro, along with the pound, has outperformed over the past month...


Gold hanging near 3-week lows

Gold oscillated in a narrow trading band, with slight negative bias, and was seen consolidating...

US Dollar finds buyers around 100.20

The greenback, measured by the US Dollar Index, stays under...

Gold consolidates near $1,260/oz

The ounce troy of the precious metal has reverted yesterday’s pullback and is now trading near session tops around $1,260...


Oil sits at multi-month troughs

Oil benchmarks on both sides of the Atlantic snapped a minor-bounce and traded modestly flat ahead of the European open, as investors remain wary heading towards the inventory report due to be published by the API later on the day...

Gold holding stable around $1318

After dipping to $1315 region, Gold has managed to recover the lost ground and is currently trading nearly unchanged around $1318 level, awaiting for fresh impetus from FOMC monetary policy decision...

Gold inching higher to reclaim $1300 level

Risk-off sentiment across global financial markets and broader USD weakness continues to boost demand for Gold, which has now moved within striking distance of reclaiming $1300 level for the first time since Jan. 2015...

  


Share: