Worrying less about Greece

20 July, 2015

For once, we start the week not worrying about Greece, or at least not as much as the previous three weekends. Still, there is the small issue of Greece having to repay EUR 3.5bln to the ECB today to cover maturing bonds owned by the central bank. This was a deadline that was not going to move, because defaulting on this would cause untold problems. The EUR 7bln bridge financing finalised on Friday was put in place to ensure that this did not happen. We’re seeing EURUSD recover from the lows made in the Asia session at 1.0820 against a slightly weaker dollar, especially against sterling and the Aussie. In general, we’ve seen currency volatility decline over the past couple of weeks, the CVIX (from Deutsche Bank) falling to levels last seen in late February.

For the week ahead, Greece will remain a factor, given the on-going disagreements between the European creditors and the IMF. The German Chancellor, in comments over the weekend, re-iterated that once the new program with Greece is in place, debt sustainability would be considered, but a haircut on nominal amounts outstanding was still off the table. The IMF continues to believe that this will not be sufficient. Elsewhere, the Aussie will have Tuesday’s RBA minutes to consider, together with inflation data on Wednesday. This weaker backdrop to commodity prices has put the Aussie under pressure in recent days and on that subject, note that Gold had a very messy Asia session, trading below the 1100 level. Sterling has also been volatile after Carney’s comments last week, suggesting an earlier interest rate rise around the turn of the year. The minutes to the latest BoE meeting are seen on Wednesday. For today, there are no major data releases, so we are likely to see a subdued start to the week, but volatility risks remain.


Source link  
OPEC meetings in the spotlight today

OPEC, JMMC meetings are taking place today in Vienna with agreement on production levels high on the agenda. This can impact on prices in Oil markets...

Markets are taking a breath right now

Whether this turns into a broader rally or the selloff is resumed remains to be seen. Stock markets are higher after support was found in the European...

Trump wants a further $200 Billion of tariffs

While there was risk yesterday from Central Bankers very little was said to move the market. Instead the Trade War narrative boiled up again with the latest...


Oil down over 4% from Friday's open

OPEC and non- OPEC members are meeting in Vienna on Thursday for the start of a 3 day summit where production cuts are on the agenda...

ECB sparks huge moves in the Euro

The ECB dominated markets yesterday as they shifted their policy stance and signalled their exit from QE. The Bank is looking to reduce its bond buying by...

FOMC meeting results in a weaker dollar

The FOMC raised rates by 0.25 bps yesterday evening to a 1.75% to 2.00% target range in a hawkish move and reaffirmed its expected forecast of 2 more...


Progress made between Trump & Kim

US President Trump and North Korean Leader Kin Jong Un met in Singapore overnight. Progress was made between the two leaders during this first meeting...

Poor British statistics presses on sterling

Britain's statistics continue to indicate a slowdown in the UK economy. Today's data showed a decline in industrial production by 0.8% during April against...

Markets pause in anticipation

Yesterday's trading session saw a rotation from the NASDAQ and Tech into the Dow Jones and Industrials. The European Indices have under preformed this week...


In the past 24 hours Bitcoin has lost -0.41% and reached $6725.99. Open your trading account with the best cryptocurrency brokers on special terms today.

In the past 7 days the EUR/USD pair has gained 0.0463% and is now at $1.1578. Start trading and making money on Forex today.

In the past 7 days Ethereum has gained 7.69% and is now at $530.82. Have the most popular cryptocurrencies compared online 24/7.


Top Brokers offering Daily Forex Market Reviews


Forex Currencies Forecasts


Top 10 Forex Brokers 2018

# Broker Review
1easyMarketseasyMarkets88%
2FXTMFXTM87%
3HYCMHYCM85%
4FIBO GroupFIBO Group80%
5FxProFxPro77%
6FXCMFXCM74%
7Alfa-ForexAlfa-Forex72%
8HotForexHotForex71%
9FP MarketsFP Markets70%
10XMXM69%
  


Share: