More calls for Greek debt relief

17 July, 2015

The ECB has backed the IMF’s call for Greece debt to be written down and they join a growing number of influential voices calling for the same forgiveness, including the US and hard line German finance minister Wolfgang Schäuble. This puts a growing camp at odds with the Eurogroup who worked so hard to put together the bailout deal. Greek Prime Minister Tsipras must be tearing his hair out thinking that had he stuck to his guns and rejected the latest deal then he probably would have got the debt relief he wanted with the number of sympathisers growing by the day. What the latest developments do mean is that we most certainly have not heard the end of this saga as the problem is highly unlikely to go away. Greece’s debt mountain is so high that without any sort of concessions from creditors it is impossible to grow their way out of it. The euro has had a bad weak against the majors, in particular against sterling smashing through the 0.7000 level (or 1.4285 if you prefer GBPEUR) and is trading at 0.6945 (1.4390) this morning.

Today is quite quiet on the economic data front although there are US inflation figures due out which will be closely watched to see if Yellen’s hawkish stance at her two day semi-annual testimony is backed up by rising inflation. CPI is due to rise from 0.0% to 0.1%. After that there’s the Michigan Consumer Sentiment also expected to rise from 96.1 to 97.0.


Source link  
Risk Appetite Returns

North Korea official news agency reported on Monday that leader Kim Jong Un will watch the actions of the United States for a while longer before making a decision to fire missiles at Guam...

US-Korean Tensions Rattle Markets

Markets were cautious on Wednesday, as safe-haven assets pushed higher after tensions grew between the US and North Korea. Markets are concerned...

Global Manufacturing Grows

Recent data releases have shown that global manufacturing saw an increase in July, further confirming global economic momentum has carried into H2...


All Eyes on Central Banks

Markets were, for the most part, little changed on Wednesday as traders waited for today’s Bank of Japan and ECB rate decisions. Earlier today...

Dollar Bears

UK Consumer Price Index (CPI) data was released on Tuesday showing inflation easing for the first time in nearly 10 months, retreating from the near 4-year high touched in May...

More Record Highs for Equities?

Early indications from Asia this morning are pointing towards a strong day for global equities, continuing the momentum from last week...


US Data brings on USD bulls

U.S. job growth surged more than expected in June and employers increased hours for workers, with signs of a labor market strengthening that is likely...

Biggest Quarterly Drop in 7 Years

USD recovered marginally on Friday, but had its biggest quarterly decline against several currencies in nearly 7 years following hawkish signals...

Markets look to Central Bankers

Asian Equities traded higher on Tuesday approaching near two-year highs on Tuesday as USD strength helped exporters...

  


Share: