Usually the wires get instant reaction from the other side of the political aisle in a situation like this, where the PM announces he has the support of his coalition partners to pass a contentious piece of legislation (a budget dictated by the fuggin’ Germans!) and hours after the coalition apparently collapsed. So far, there has been no public comment from any of the parties calling for the elections earlier today.

EUR/USD has rebounded a bit on the hope that the EU may get to sneak this bailout deal in under the wire after all…We trade now at 1.3620.