Greek spreads over German bunds are trading in choppy fashion between 400 and 410 bp as the market comes to terms with Greece setting in motion the mechanism to ask the EU for aid. This action will bring to the surface all the concerns about Germany and others getting the necessary parliamentary support produce the funds. Legal challenges are also a mine field for the process. Odds are, it will be another European fiasco.
EUR/USD trades at 1.3540. Bids are seen in the 1.3500/20 area with stops below 1.3500, especially at 1.3480/90.
