FXStreet (Barcelona) – Analysts at UOB Group, note that the Greece referendum resulted in a ‘No’ vote, and ECB’s decision on the ELA and Merkel-Hollande meeting will be the key focus for today.
Key Quotes
“News from the Greek referendum on Sunday (3 Jul) will likely reverberate through the financial markets on Monday (4 Jul) as Greek voters have comprehensively rejected the creditors’ latest proposal (As of 7:46am Singapore time, 99.89% of the Greece referendum vote is counted and the result is a clear win for the “NO” camp at more than 61%).”
“The key event for Greece now will be the ECB Governing Council’s decision later today (6 Jul) on its Emergency Lending Assistance (ELA) for Greek banks. The next scheduled meeting of the Eurogroup is on 13 July but European Council President Donald Tusk called for an earlier Eurozone summit for this Tuesday (7 Jul) while a spokesman for Eurogroup President Jeroen Dijsselbloem said that Eurozone finance ministers will meet on Tuesday. So the expectation now is that the ECB may choose to hold off any decision & keep the ELA to Greece banks at current levels and let the Eurozone politicians take the lead to deal with the referendum result. German Chancellor Angela Merkel will travel to Paris on Monday (6 Jul) to discuss referendum result with French President Francois Hollande.”
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