FXStreet (Barcelona) – Prashant Newnaha, Strategist at TD Securities, summarizes the financial market performance an key developments surrounding the Greece crisis during the Asian trading session.
Key Quotes
“Optimism has creeped back into the markets with China equities higher again today (albeit with 50% of stocks still not trading) and hopes that a deal on Greece can be reached over the weekend. Overnight Greece’s new proposals were submitted, pointing to €13b of spending cuts and VAT increases, but demands for debt restructuring remain. The market read comments made by Schaueble overnight as possibly the 1st sign that Germans are prepared to make concessions, but this stands in contrast to Merkel comments ruling out haircuts.”
“While we are not out of the woods yet, we saw some decent bounces across asset classes, in FX the EURJPY jumping the most in 5 weeks, the SHCOMP +5%, ACGB 10yrs backed up as much as 15bps while buying of mining names resumed on the ASX. We expect today’s European and US session to be fairly quiet, dominated by position squaring into the weekend.”
(Market News Provided by FXstreet)