FXStreet (Barcelona) – The Rabobank Team comment on the key developments over the weekend surrounding Brexit and Grexit risks.
Key Quotes
“The following Saturday, the Financial Times headline was about the risks of Brexit (UK exit from the EU) – again far from a done deal, but something that seemed ridiculous a few years ago (and let’s not forget that this year we have seen Scotland choose to stay in the UK, but then vote for a party still favouring independence).”
“Furthermore, today’s press shows that the ‘last ditch’ Greek talks broke down over the weekend, raising the risks of a ‘Grexit’. (Of the negotiations we can say “To show affection was a sign of weakness; the only thing worth demonstrating was strength.”) We have always argued that a Greek deal would only occur at one minute to midnight; yet it now looks like 23:58 and counting. Indeed, the market refrain may soon be “For whom is it well, for whom is it well? There is no one for whom it is well.”
(Market News Provided by FXstreet)