OctaFX_Farid Posted June 29, 2015 Author Share Posted June 29, 2015 GBP/USD recovers to 1.5700 FXStreet (Mumbai) - GBP/USD keeps losses in the European session, recovering from fresh session lows, as the US dollar paused its upsurge and gave back half its gains versus its major peers, lending helping hand to the GBP bulls. While ongoing Greek concerns continue to boost the risk-off moods untouched, keeping the pound in red. GBP/USD pressured amid Greek uncertainty The GBP/USD pair trades -0.31% lower at 1.5702, recovering from fresh session lows reached at 1.5685 last hours. The cable manages to fight back and erased partial losses mainly on US dollar retreat across the board. The dollar index which measures the greenback’s strength against its major peers, now trades 0.37% higher at 95.95, retracing from 96.60 highs. The USD bulls took charge earlier this session and pushed GBP/USD lower as the greenback strengthened on tumbling EUR/USD on Greek concerns. Later in the day, the cable will track US dollar moves amid lack of UK fundamentals while US pending home sales and fresh Greek updates will be closely watched. GBP/USD Levels to consider The pair has an immediate resistance at 1.5739 (Today’s High) above which gains could be extended to 1.5800 levels. On the flip side, support is seen at 1.5685 (Today’s Low) below which it could extend losses to 1.5623 (June 17 Low) levels. June 29,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 29, 2015 Author Share Posted June 29, 2015 ECB rejects ELA ceiling increase for Greek banks FXStreet (Córdoba) - According to media reports, Greece had requested the European Central Bank to increase the Emergency Liquidity Assistance (ELA) ceiling for Greek banks by €6 billion but it was rejected. That leaves emergency funding for Greek institutions at € 89 billion until the referendum. Greek banks are closed this week as Athens imposes capital controls unable to face increasing withdraws after negotiations with the Eurogroup broke down last Saturday when the Greek government called a referendum on the bailout program. Media is reporting the a Greek government official saying Greek pension withdrawals to be limited to €240. June 29,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 29, 2015 Author Share Posted June 29, 2015 How long will Greek capital controls last? – Rabobank FXStreet (Barcelona) - The Rabobank Team summarizes the key developments and risks ahead for Greece after capital controls were enforced. Key Quotes “In the wake of the failure of Greece and its creditors to sign a compromise deal over the weekend, the ECB has agreed only to continue providing emergency lending assistance to Greek banks at Friday’s level of EUR89 bln. The ECB made clear that it stands ready to reconsider its decision but meanwhile the heightened risk that Greece’s banks will run out of liquidity has forced the implication of capital controls.” “Greek banks will reportedly remain shut until July 7 and there will be a EUR60 daily cap on withdrawals from cash machines, though this will not apply to those using foreign debit or credit cards. It is not clear how long capital controls will remain in place, but bear in mind that in Cyprus controls were not fully lifted for around two years after the 2013 crisis.” “Amidst the talk that Greek companies will not be able to pay invoices, fears of shortages are rising in the country and queues at petrol stations have been building. It is unknown how long Greece could survive the liquidity shortage before pressure mounts on the Bank of Greece to start issuing an alternative currency.” June 29,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 29, 2015 Author Share Posted June 29, 2015 GBP/USD near term risk lies to the downside – Scotiabank FXStreet (Barcelona) - Eric Theoret, CFA, CMT, Currency Strategist at Scotiabank, sees near-term risks for GBP/USD tilted to the downside, with technicals signalling towards a short-term bearish outlook for the pair. Key Quotes “GBP is soft, down a modest 0.3% from Friday’s close on the back of broader market sentiment driven by Greece. Near term risk lies to the downside, however we look to the potential for some offsetting gains in response to Tuesday’s final GDP revision for Q1. PMI’s will round out the remainder of the week, beginning with the manufacturing PMI on Wednesday.” “GBPUSD short-term technicals: bearish—Monday’s candle hints to limited upside potential as we note a sizeable upper shadow. A rising wedge formation has taken shape since mid-May, its lower bound currently seen around 1.5500. Rising wedges are typically resolved to the downside.” June 29,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 29, 2015 Author Share Posted June 29, 2015 AUD/USD looks ahead at Chinese manufacturing PMI's - BBH FXStreet (Guatemala) - Analysts at Brown Brothers Harriman noted the forthcoming Chinese data that will be an influential factor in markets and subsequently could be effecting the price of AUD/USD. Key Quotes: "China reports official manufacturing PMI Wednesday, expected at 50.4 vs. 50.2 in May. " "We note that the HSBC flash June manufacturing PMI rose to 49.6 from 49.2 final in May." "The stock market swoon is surely raising concerns." "Regardless of the market gyrations, however, we thought that this latest round of stimulus was the right response to soft economic data. More stimulus is likely to be seen in H2." June 29,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 30, 2015 Author Share Posted June 30, 2015 Greece asks for 2-year ESM bailout program and debt restructuring FXStreet (Córdoba) - Greece requests a 2-year bailout program from the European Stability Mechanism (ESM) with parallel restructuring of debt, according to Prime Minister Tsipras office. June 30,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 30, 2015 Author Share Posted June 30, 2015 SEB: EUR/JPY needs to push above 137.20/138.80 to get off bearish phase – eFXnews FXStreet (Barcelona) - The Technical Strategy Team at SEB, believes that EUR/JPY requires to reclaim the 137.20/138.80 21day EMA band to ease bearish pressure, as noted by eFXnews. Key Quotes “The short-term (bullish) "Cloud" and the short-term downside stretch (as defined by the deviation away from its monthly average) were respected. A long lower shadow and a high session close puts pressure back on the 21day exponentially weighted moving average band (137.20/138.80) which in reality also has to be reclaimed to get the pair off the bearish edge.” This forecast has been provided under specific arrangement with eFXnews. June 30,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 30, 2015 Author Share Posted June 30, 2015 Neutral outlook on PLN – BAML FXStreet (Edinburgh) - The outlook for the Polish zloty remains on the neutral side so far, suggested strategists at BAML. Key Quotes “We are on track to our 3.5% growth forecast for 2015. Industrial production growth recovered to 5.3% yoy in May from a soft April reading of 2.7% in seasonally and working-day adjusted terms, maintaining the growth momentum at the beginning of the year”. “The robust 1Q growth rate, with recent PLN weakness and an increase in political uncertainty, implies the National Bank of Poland will stay neutral. The Monetary Policy Council has been sending strong signals to the market about its intention to end the easing cycle. The recent PLN weakness eased the MPC’s concerns about higher risks of inflation undershooting. Our baseline has the policy rate steady at 1.50% through 2016, and we note that the risk of easing has fallen significantly”. “Bund volatility and Greece talks are a risk to sentiment in the region, including that for PLN. We stay neutral outright but hold a short PLN/HUF position, as the cross seems overvalued from a longer-term perspective”. June 30,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 30, 2015 Author Share Posted June 30, 2015 USD/CHF climbs above 0.9330 amid new talks FXStreet (Córdoba) - The US dollar gained momentum as traders focus on the London fixing and pushed USD/CHF to break the short-term resistance area located around 0.9330. The pair jumped to 0.9380. Currently trades at 0.9360/65, near the area it opened the week. The Greek saga continues with now a proposal from Greece to extend the bailout with loans to be used exclusively to debt payments. A conference call will take place later today, announced the Eurogroup leader. USD/CHF technical levels Yesterday the pair dropped almost 200 pips from the highs and bottomed at 0.9242. Today made the reverse move and rose 140 pips from 0.9245 to 0.9380. To the upside USD/CHF could face resistance at 0.9380 and above here at 0.9400 and 0.9425/30 (June 29 high). On the flip side, immediate support might now lie at 0.9330, followed by 0.9285 and 0.9240/50 (daily low). June 30,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 30, 2015 Author Share Posted June 30, 2015 'No way' the Eurogroup will release funds to Greece before tonight's deadline FXStreet (Córdoba) - Eurozone officials say that there is "no way" Eurogroup will release funds to Greece to repay the IMF € 1.6 billion before tonight's deadline. June 30,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 30, 2015 Author Share Posted June 30, 2015 EUR/CHF rises to 1.0450, above last week close FXStreet (Córdoba) - EUR/CHF rose back above 1.0400 and climbed to 1.0451 reaching a fresh daily high amid a weak Swiss franc. The pair remains near the highs. EUR and Greece Greek officials put forward a new proposal to its creditors for a new bailout program for 2 years, with funds used to debt payments. According to reports Angela Merkel said that they will not negotiate anything new before the Greek referendum. The euro was unaffected by the latest reports while the Swissy is among the worst performers in the currency market during the American session. EUR/CHF levels to watch The recent rally was capped by 1.0450, above the next resistance could be located at 1.0480 followed by 1.0500. On the opposite direction support might lie at 1.0370, 1.0310 and 1.0280. June 30,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 30, 2015 Author Share Posted June 30, 2015 Tsipras urges Greek public to vote 'NO' to creditors terms - Rabobank FXStreet (Guatemala) - Analysts at Rabobank noted Tsipras recent plea to the Greek public. Key Quotes: "In a television address PM Tsipras has told the Greek people that “they will not throw us out of the Eurozone...because the cost is immense”. An estimated 12,000 people gathered outside Athen’s Syntagma Square to support their leader in his bid to persuade the Greek people to vote ‘no’ to an acceptance of the creditors terms in Sunday’s referendum." "Tsipras is taking the view that a ‘no’ vote would strengthen Greece’s negotiating position. Meanwhile some European officials are indicating that this referendum may be seen as a straight choice between Greek choosing to remain in or out of the Eurozone." June 30,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 30, 2015 Author Share Posted June 30, 2015 Greece has requested delay of IMF repayment FXStreet (Córdoba) - According to German paper Bild, Greece has submitted a delay application of € 1.6 billion repayment to the IMF due at midnight. Report also states Greece still intends to repay the IMF. June 30,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 30, 2015 Author Share Posted June 30, 2015 Buy the dips in USD/BRL – BAML FXStreet (Edinburgh) - Analysts at BAML have recommended buying the dips in the pair following the government’s preference for a weaker BRL. Key Quotes “The new Brazil policy framework involves tighter monetary and fiscal policy, and a weaker exchange rate induced by less central bank intervention”. “Since the new economic team led by Finance Minister Joaquim Levy was announced last year, the central bank has increased its benchmark rate by 275bp to 13.75% and a primary fiscal surplus target of 1.1% of GDP has been set for 2015”. “Both represent a significant tightening of policy. The central bank is expected to keep hiking rates – by 85bp according to the futures market and by 50bp in our baseline scenario – and even if the primary surplus ends up at 0.8%, as consensus expects, it would still represent more than a 1pp fiscal adjustment versus the 0.6% primary deficit in 2014”. “The economic team is cushioning the recessionary effects of tighter policy by letting the exchange rate adjust more rapidly and freely to its equilibrium level by reducing its intervention in currency markets. Based on Compass, we estimate the equilibrium level is 3.35”. “We recommend fading BRL rallies below 3.05 given the government’s revealed preference for a weaker exchange rate. We find currency forwards to be a better alternative to FX options despite the recent decline in implied volatilities”. June 30,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted June 30, 2015 Author Share Posted June 30, 2015 DXY pushes higher around 95.50 FXStreet (Edinburgh) - The greenback, in terms of the US Dollar Index, has recovered from the dip to sub-95.00 levels and is now printing session tops in the 95.50/55 band. DXY firmer as bid tone re-emerges The dollar has managed to recover the initial bid tone after dropping to session lows near 94.80, helped by month/quarter-end flows and the still confusion scenario in Greece ahead of the decisive referendum on Sunday. Data wise in the US economy, the S&P/Case-Shiller index and the Chicago PMI both missed expectations today, while Consumer Confidence surpassed the median for the current month. DXY relevant levels As of writing the index is advancing 0.69% at 95.44 and a break above 96.39 (high Jun. 29) would open the door to 96.54 (high Jun.8) and finally 96.91 (high Jun.5). On the flip side, the immediate support aligns at 94.30 (low Jun.23) ahead of 93.81 (low Jun.22) and then 93.57 (low Jun.18). June 30,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted July 1, 2015 Author Share Posted July 1, 2015 DAX jumps over 2% on Tsipras bailout FXStreet (Mumbai) - Germany’s benchmark index, the DAX bounced-back sharply, snapping previous declines and rallied higher tracking other European indices following media reports that Greece is ready to accept bailout conditions, although with certain changes. Currently, the DAX 30 trades nearly 2.22% higher at 11188.30 levels, swinging back higher above 11k marker. The German stocks halted its two-day decline and rebounded higher as euro zone officials are set to discuss Greece once again, with Athens reportedly stating it will accept its creditors' bailout conditions proposed last weekend. The index trades with a clear positive market breadth with all stocks on the winning end. Volkswagen AG leads the index, up 2.90% followed by Daimler AG, gaining 2.80%. Deutsche bank is also recording a 2.73% gain on the day. DAX Technical Levels The index has an immediate resistance at 11299.61. Meanwhile, support is seen at 11000 levels and 10806 levels. July 01,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted July 1, 2015 Author Share Posted July 1, 2015 Referendum will go ahead – Greek government official FXStreet (Mumbai) - As per Reuters reports, a Greek government official said that Greece will go ahead with the July 5 referendum and said the negotiations will continue after the vote. Earlier today, the FT reported that Greek PM is willing to accept all the demands put forward by the creditors, which triggered speculation that a referendum may not be held. Meanwhile, Germany’s Schaeuble said that he has not even read the latest proposal from Greece, while stating that there is no scope for talks before the referendum. July 01,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted July 1, 2015 Author Share Posted July 1, 2015 EUR/USD flirts with 1.11 handle amid Greek-led exhaustion FXStreet (Mumbai) - The EUR/USD pair is hovering close to 1.11 handle, threatening to fall below the same as proposals and counter proposals continue to fly back and forth between Greece and its international creditors. EUR ditched as investors await definite news regarding Greece The shared currency found some love in the European session on reports that Greek PM Tsipras is ready to accept all conditions put forward by the international creditors. However, the optimism quickly faded after German Chancellor reiterated that talks before the July 5 referendum are out of the equation. Moreover, the markets are exhausted with the repeated pattern of fresh proposals followed by outright rejections by each party to the deal. Consequently, the EUR/USD pair fell back to 1.11 levels. The investors now await fresh and a definite news regarding the Greek crisis. EUR/USD Technical Levels The pair currently trades at 1.1104. The immediate support is seen at 1.1082, under which the pair could target 1.1050 (Mar 26 low). On the flip side, a break above 1.1130 could push the pair higher to 1.1188 (50-DMA). July 01,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted July 2, 2015 Author Share Posted July 2, 2015 GBP/USD posts daily highs after disappointing US nonfarm payrolls FXStreet (Córdoba) - GBP/USD saw a short-lived spike and printed fresh daily highs after the release of disappointing US nonfarm payrolls report. Weak US employment data weighs on the dollar US economy created 223,000 new jobs in June, missing expectations of 230,000 and below a downwardly revised gain of 254,000 in May. The unemployment rate edged lower to 5.3% from 5.5% the previous month but wages were flat and the participation fell. Separated data showed US initial jobless claims increased by 10,000 to a seasonally adjusted 281,000 in the week ended June 27, above the 270,000 expected. The greenback fell across the board as downbeat employment data weighed on expectations the Fed could begin raising rates later this year. GBP/USD rose to a high of 1.5636 before quickly pulling back to mid-range levels. At time of writing, Cable is trading at 1.5608, virtually unchanged on the day. July 02,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted July 2, 2015 Author Share Posted July 2, 2015 Positioning for USD/JPY upside using options ahead of near-term risk events – Nomura FXStreet (Barcelona) - The Research Team at Nomura, position for USD/JPY upside into the September FOMC meeting using options, expecting the pair to break above 125.86. Key Quotes “We are adding fresh USD/JPY long exposures via 3m call spread (125.50- 128.00), which cost 0.46% at a spot reference of 123.17, with a max payout of 1.95%. We commit $100K to the position, in our model $100mn portfolio. Ahead of the September FOMC, we expect USD/JPY to break the recent high (125.86), and are recommending to position for that.” July 02,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted July 2, 2015 Author Share Posted July 2, 2015 Treasury yields drop as US wage growth stalls in June FXStreet (Mumbai) - The Treasuries gained, pushing the yields lower after the payrolls report in the US showed the pace of job addition sowed in June, while wage growth stalled, raising doubts whether the economy would be able to sustain rate hikes. Rate hike expectations drop Fed funds futures show there is a 27% chance the central bank will increase its benchmark rate from near zero in September, down from 35% Wednesday. Consequently, the yield turned lower. The 2-year yield, which mimics short-term interest rate expectations, now trades 4.7 basis points lower at 0.641%. The yield of the benchmark 10-year Treasury note fell 4 basis points to 2.38%. The 30-year yield also fell to 3.179%. The interest rate sensitive 2-year yield now trades 4.7 basis points lower at 0.641%. The pace of job additions slowed, although the number stayed below 200K. However, the growth in the average hourly earnings stalled, which raised questions whether the spike in the personal sending seen last month shall last. July 02,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted July 2, 2015 Author Share Posted July 2, 2015 USD/CHF might see an attempt towards 0.9530/43 – Commerzbank FXStreet (Barcelona) - Karen Jones, Head of Technical Analysis at Commerzbank, believes that USD/CHF might make an upside move towards 0.9530/43 and even 0.9581. Key Quotes “USD/CHF is looking a bit perkier as it has completely ignored the key day reversal to the downside and has eroded the near term resistance line to head into the middle of the cloud. We would allow for an attempt on the 200 day ma and the May high at .9530/43 and the top of the cloud at .9581.” “Current Position: None. Recommended Trade: Attempt tiny longs .9375, add .9340, stop .9240” July 02,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted July 2, 2015 Author Share Posted July 2, 2015 GBP/USD revisits 1.5620 after US factory orders data FXStreet (Mumbai) - The GBP/USD pair rose to trade near 1.5620 after the USD bears caught a second wind after the factory orders data in the US contracted more than expected. Gains capped at key Fib resistance The pair failed to take out the resistance at 1.5638, which is the 38.2% Fib R of June rally. A minor recovery in the USD pushed the pair back to 1.56-1.5610 band, before the pair rose back to 1.5620 after the official data in the US showed factory orders in June fell 1%, beating the estimated fall of 0.5%. Moreover, the rate hike bets dropped due to the disappointing data sets released today in the US. Fed funds futures show there is a 27% chance the central bank will increase its benchmark rate from near zero in September, down from 35% Wednesday. It remains to be seen if the pair manages to take out the resistance at 1.5638 ahead of the early weekend in the US on account of a trading holiday on Friday. GBP/USD Technical Levels The immediate resistance is located at 1.5638, above which the pair could target 1.5688 (hourly 10-MA). On the flip side, a break below 1.5600 could see the pair re-test the daily low of 1.5565. July 02,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted July 2, 2015 Author Share Posted July 2, 2015 EUR/USD bearish bias into next week – BTMU FXStreet (Barcelona) - With the Greece referendum being the key risk for EUR/USD in the near-term, the Bank of Tokyo-Mitsubishi UFJ Team maintains a bearish bias on the pair into next week, forecasting a 1.0800-1.1400 range. Key Quotes “We are maintaining a wider than usual trading band for the week ahead given the crucial importance of the referendum in Greece on Sunday. As the referendum has been called at short notice and during exceptional economic circumstances, the outcome from the referendum remains highly uncertain. The few opinion polls have provided no clear cut signal as to which way the Greek people are likely to vote.” “We are assuming that the Greek public will vote “Yes” given their desire to remain within the euro-zone. However, the Greek government is campaigning for a “No” vote stressing there is no clear direct link between voting against austerity and leaving the euro-zone. However, if there is a “No” vote it will make it even more difficult for the creditors to reach an agreement with the current Greek government. Without an agreement the ECB will remain under pressure to pull emergency financing from the Greek banks moving Greece closer towards an exit from the euro-zone placing more downward pressure on the euro.” “Alternatively if the “Yes” vote prevails, the current Greek government would likely be replaced by a national unity government tasked with securing an agreement with the creditors. The euro may stage a limited relief rally although a return to relative fundamental drivers would likely see the euro soon come back under downward pressure.” “EUR/USD – Bearish Bias – (1.0800-1.1400)” July 02,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
OctaFX_Farid Posted July 2, 2015 Author Share Posted July 2, 2015 IMF: Greece needs €50 billion in new funds and large scale debt relief FXStreet (Córdoba) - While Greeks set up for the referendum on whether to accept more austerity measures demanded by creditors in exchange for aid, the International Monetary Fund (IMF) described Greek debt as “unsustainable” and said the country needs large scale debt relief. In a report, the IMF said Greece needs €50 billion in new funds over the next three years and large scale debt relief to create “a breathing space” and stabilise the economy. The institution suggested it will not back up a third Greek bailout unless it included both a commitment to economic reform and debt haircuts. The IMF estimates that even if Greece had primary surplus of 2.5% and real GDP growth of 1%, a significant haircut would still be required and warns that Greek GDP forecasts are subject to very considerable downside risks. Extract from IMF document, via The Guardian: “Even with concessional financing through 2018, debt would remain very high for decades and highly vulnerable to shocks.” “Given the fragile debt dynamics, further concessions are necessary to restore debt sustainability. As an illustration, one option for recovering sustainability would be to extend the grace period to 20 years and the amortization period to 40 years on existing EU loans and to provide new official sector loans to cover financing needs falling due on similar terms at least through 2018”, says the IMF. July 02,2015 OctaFX.Com News Updates Trade with OctaFX - the Most Reliable Forex broker! Quote Link to comment Share on other sites More sharing options...
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