Although much was made of the outcome of the referendum vote, Greece made its way back to the negotiating table with creditors after calls for debt relief and restructuring were met with firm refusals from European partners. Proposals submitted Friday that closely resembled previous creditor offers were finally approved after marathon negotiations culminated this morning in a deal between Greece and creditors. Outside of the Greek headlines, the main focus was on the continuing tumult and volatility in Chinese stocks as policymakers and regulators impose new roles to facilitate a more orderly flow of stock markets. However, policies prevented at curbing selling are receiving mixed results as policymakers try and tackle what they term hostile sellers. Aside from the volatility dominating financial markets, the release of FOMC Meeting Minutes confirmed the timeline for liftoff even though policymakers saw some notable risks to the outlook. Should external conditions continue to be difficult it might mean pushing back a rate hike even further despite the window for hiking closing rapidly. Other important events included the release of the UK Conservative budget and Bank of England decision to leave the key interest rate on hold at 0.50%.
Volatility Reigns Supreme
Weekly Report - 13/07/2015