ZuluTrade Blog

Risk FX rose after the EU FM approved the package for Greece

Market View | Tuesday, February 21, 2012 3:29 AM GMT

Good morning ,


- EURUSD finally rallied to 1.3293 after the EU finance ministers approved
  the EUR 130 bln package for Greece. Risk FX rose as well in line with the

- Stocks: Nikkei -0.23 %, Hang Seng +0.00 %, Shanghai Composite +0.24 %,
  Dow Jones +0.35 %, S+P500 +0.23 %

- Euro zone finance ministers sealed a second EUR 130 bln bailout for Greece on
  Tuesday.  After 13 hours of talks, euro zone officials said ministers had
  finalised measures to cut Greece's debt to 120.5 percent of gross domestic
  product by 2020, a fraction above their original target of 120, after
  negotiators for private bondholders accepted bigger losses to help plug the
  funding gap. The deal includes a 53.5 percent writedown for investors in
  Greek bonds, Luxembourg's Jean-Claude Juncker, who led the meeting, told
  reporters early this morning. Debt-swap bonds will have a coupon of 2 percent
  in 2014, rising to 3 percent in 2015-2020 and to 4.3 percent after that, he

- Japan's finance minister on Tuesday played down the prospect of G20 nations
  agreeing to provide more funds to the International Monetary Fund to help
  deal with the euro-zone debt crisis."The way I see it, (G-20 nations) are not
  yet in a situation where they are moving in the same direction and are about
  to decide specific amounts" of additional funding for the IMF, Finance
  Minister Jun Azumi said. Azumi also said China and Japan share the view that
  "there may still be some room for Europe to make efforts" to deal with its
  debt crisis. The G-20 finance ministers will meet in Mexico Feb. 18-20. 

- Australia's central bank kept its benchmark interest rate unchanged this
  month as risks in Europe abated and said it has scope to ease policy if
  demand were to "weaken materially," minutes of its Feb. 7 meeting showed.
  "While the financial situation in Europe remained fragile, the likelihood of
  an extremely bad outcome seemed to have diminished somewhat," the minutes
  released today showed. "With growth expected to be close to trend and
  inflation consistent with the target, the board considered that this setting
  was appropriate for the overall macroeconomic outlook."

- RBA Governor Glenn Stevens said funding costs for banks haven't fallen as
  much as the 50 basis points in cuts to the central bank rate.

- New Zealand company executives lowered their expectations for the nation's
  inflation rate. Inflation will average 2.5 percent in two years' time,
  according to the 75 business managers surveyed. Expectations fell from 2.82
  percent in the previous survey in November. Inflation will average 2.24
  percent in one year's time, today's survey showed.

- 1430 US Chicago Fed Nat. Activity Index Jan
- 1600 Eurozone Consumer Confidence Feb
- 1030 UK PSNCR/PSNB Jan
- 2030 BOE Bean
- 0800 Switzerland Trade Balance Jan
- 0800 Switzerland M3 Jan
- 1430 Canada Retail Sales Dec
- 1430 Canada Wholesale Sales Dec



Have a good day !

Comments are closed

Trading spot currencies involves substantial risk and there is always the potential for loss. Your trading results may vary. Because the risk factor is high in the foreign exchange market trading, only genuine "risk" funds should be used in such trading. If you do not have the extra capital that you can afford to lose, you should not trade in the foreign exchange market. Forex Brokers and ZuluTrade are compensated for their services through the spread between the bid/ask prices or there may be a cost to initiate a trade through the bid/ask spread. Signing up is totally free, and there is NO contract and NO monthly fees, ever.

This blog is for informational purposes only. This blog is not intended for distribution channels and may not be reproduced or distributed without the permission of Zulu Trade ltd or any of its affiliated entities (“ZuluTrade”). All opinions, news, prices or other information contained in this blog are provided as general market commentary and this report does not contain and it is in not to be considered in any circumstance as market analysis, offer or solicitation to buy or sell any financial instruments, personalized or general recommendation for any investment decision or investment strategy by ZuluTrade, in any jurisdiction in which such offer, solicitation, purchase or sale would be unlawful under the securities laws of such jurisdiction. The information contained in this blog should not be construed as financial or investment advice on any subject matter. The financial instruments referred to herein may not be suitable for all investors and any investments on such financial instruments requires the assessment by each investor and its counsels of the investor’s investment characteristics, including the investment risks which the latter is willing to assume. This blog has been based on information which has been made public, obtained from sources believed to be reliable, but it has not been verified by ZuluTrade. No representation or warranty (expressed or implied) is made as to the accuracy, completeness, correctness, timeliness or fairness of the information or opinions herein, all of which are subject to change without notice. No responsibility of liability whatsoever of howsoever arising is accepted in relation to the contents hereof by ZuluTrade or any of its directors, officers, employees. Further, no representation is being made that any results will be achieved, and past performance is not indicative of future performance.