The market is so headline driven at the moment. It looks like European leaders have agreed upon some type of EFSF special purpose vehicle where it will look to attract investment. This means that it will not be clear how much money/leverage the fund will have until there is a better idea of what the investors are willing to contribute.
The market wants a dollar figure right now and it’s not going to get it, which will initially hurt EUR.
It also looks like the Greek haircut negotiations have hit an impasse.
