EU economics czar provides the marklet with this newsflash: Greece ain’t out of the woods yet. Thanks for that, Olli.

Also on the wires with a bit of wisdom is US Treasury Secretary Geithner, who says there is a good economic case to be made for putting more “investment” into infrastructure now. (Wouldn’t the $800 bln stimulus package have been a good place to put infrastructure “investment”?).

Geithner says there is “no way” the US will loose the AAA rating.

Thoughts of well-respected RBA watcher.

Import prices fell 0.3% in February while export prices fell 0.5%.

Little market impact from the data.

• German government spokesman: Government expects no decision on aid for Greece at EU summit next week
• German government source (anonymous, not spokesman): Should Greece aid be needed, German government is open to involvement of IMF
• German FinMin: Euro zone states would take coordinated action if one state in group faced bankruptcy
• Greek FinMin: Welcomes eurogroups decision on Greek aid.  Aid to be granted to Greece only should need arise. Will be granted on reasonable rates
• Swiss government raises 2010 GDP growth forecast to 1.4% from previous forecast of 0.7%
• Shanghai share index closes up 0.5%
• UK Treasury Chief Sec Byrne: EU has got judgement wrong over deficit
• Belgian FinMin: Belgium ready to participate in any Greek aid scheme. Aid scheme could involve bilateral loans or guarantees
• Euro zone February inflation confirmed at +0.3% m/m, +0.9% y/y
• ZEW March German economic sentiment index 44.5 vs 45.1 in February, better than expected 43.7

Well looks from all the rhetoric as though Greece is going to get its aid, if infact it needs it.  Can’t really fathom the details. Maybe its just me being slow. or maybe there aren’t any.

EUR/USD up at 1.3720 from early 1.3695. Early sell-off reached session low 1.3657 where sovereign purchases supported.  Slightly better than expected ZEW data (see above) also helped.   

Cable started around 1.5005 and fell to 1.4979, two  UK clearers and a German bank notable sellers.  Sovereign buy orders were tipped down at 1.4950/60 but we didn’t get that far. Sovereign buying is said to have surfaced around the lows.  Stops were tripped as we went through overnight high of 1.5071 on way to session high 1.5153, presently at 1.5140.  Another clearer (neither of those seen selling earlier) is said to have played a big part in getting the pairing through 1.5100.

Latest poll in Daily express shows Tories lead increasing. Maybe we might not get hung parliament after all.  Fingers crossed.

EUR/GBP down at .9062 from early .9095.  An early rally floundered at .9119.  The .9110/30 zone continues to provide formidable resistance.

USD/JPY up at 90.65 from early 90.10.  We’re stuck 90.00-91.00 range at the moment.  Fiscal year end repatriation flows capping the upside. Speculation BOJ will bring in further easing measures this week limiting downside.

Having finally take out sell orders at 1.3700/10, presently at 1.3715.

I think the trigger for the move is the news from a German government source that the German government is open to the involvement of the IMF should Greece need aid.  Tricky, as some would say the need for IMF involvement reflects fact EU can’t keep their own house in order.

Who cares.

German government source:  Should Greece aid be needed, German government is open to involvement of IMF.

• Export-orientated industries will drive economic growth
• German business activity has moved from intensive care to rehab
• German economy is far from full recovery
• Markets have priced in all Greek problems
• Economic impact of Greek problems are not very high for Germany
• There might be some expectations of bailout for Greece, but cannot say for sure (don’t you bloody start)
• Inflation expectations are going down
• Inflation expectations point to more moderate growth path

• Greece has not asked for help
• If necessary, euro zone states would take coordinated measures
• Increasing cause for concern that speculators are targetting currencies

Blah, blah, blah, blah.  Shut up, shut up, shut up………

Ofcourse no real details will be forthcoming, leaving market in effective limbo.

I’ve just about had enough. I’m taking the rest of the week off and going to Cheltenham to watch the racing.

ZEW  March  German economic sentiment has come in at 44.5, up from 45.1 in February, better than median forecast of 43.7 (we had 43.5)

EUR/USD has firmed a little, but so far aforementioned sell orders at 1.3700/10 capping rally.  We’ve been to 1.3705, presently at 1.3695.

Meanwhile euro zone February inflation +0.3% m/m, +0.9% y/y, as expected.

EUR/USD sits at 1.3677, seemingly stuck between buy orders tipped at 1.3650/60 and sell orders up at 1.3700/10.

Stops probably parked close by on either side ie below 1.3650 and above 1.3710.

German ZEW data awaited in about 20 mins, economic sentiment expected 43.5 from previous 45.1.

• 1
• 2
• 3
• 4
• 5
• ...
• 572
• >