Echoing the chorus of calls from the International Monetary Fund and other external analysts, the European Central Bank yesterday also highlighted the necessity for Greek debt relief, with ECB President Mario Draghi hammering home this point during his press conference yesterday. The Germans nevertheless remain in staunch opposition to any such move, with German Finance Minister Wolfgang Schaeuble decrying to measures as not allowed by European rules that prevent haircuts to the face value of sovereign debt. Support for Greek banks was also expanded by an additional EUR 900 million with the country’s banks set to reopen on Monday. In additional news, the European Central Bank moved to leave the benchmark interest rates for the Euro Area on hold at 0.05% while leaving other easing policies unchanged for the moment. Confidence in the region continues to ebb as evidenced by the continued losses in the Euro while stocks are bid on the deal prospects.
Daily Analysis - 17/07/2015