Greece Bailout Deal Closed, Market Reactions Critical to May's Trend Markets generally closed within prior week's range in spite of all the volatility. Euro dipped to one year low against dollar after Greece bonds was downgraded to Junk by S&P but managed to recover on hope of finalizing the bailout for Greece. The EUR 120b deal was indeed finalized on Sunday after Greek Prime Minister Papandreou accepted the terms to slash public sector spending by EUR 8b in 14 months after the plan was activated. Also, Greece pledged to raise the VAT from 21% to 25%, Greece civil servants' wages and eliminate public sector annual bonuses. There would also be tax increase on fuel, tobacco and alcohol. The should eventually bring Greece's deficit down from 2009's 13.6% to EU's limit of 3% of GDP by the end of 2014, one year later than originally planned. The new measures will be submitted for Parliamentary approval by Friday. The package will provide EUR 45b to Greece this year and up to EUR 120b over three years. Two-thirds of the fund will come from EU members and the rest will be from IMF. Full Report Here... |
EUR/USD Weekly Outlook EUR/USD edged lower last week but was supported by 61.8% projection of 1.4578 to 1.3443 from 1.3817 at 1.3116 and recovered. Some more consolidations would be seen this week first. But upside is expected to be limited by 1.3417 resistance and bring fall resumption. Break of 1.3114 will target 100% projection at 1.2682 next. Read more... All Technical Outlook Reports | Weekly Top Movers | Top 5 | Current | Last | Change
(Pips) | Change
(%) | | NZDCAD | 0.7390 | 0.7162 | +228 | +3.09% | | GBPNZD | 2.0999 | 2.1429 | -430 | -2.05% | | EURNZD | 1.8278 | 1.8650 | -372 | -2.04% | | CADJPY | 92.17 | 94.04 | -187 | -2.03% | | USDCAD | 1.0177 | 0.9988 | +189 | +1.86% | Currency Heat Map Weekly View | USD | EUR | JPY | GBP | CHF | CAD | AUD | | USD | | | | | | | | | EUR | | | | | | | | | JPY | | | | | | | | | GBP | | | | | | | | |
No comments:
Post a Comment