So let’s go out on a limb and say the Greek government survives the confidence motion….
Will the euro rally? Maybe a little.
But there is another big vote next week (June 28 deadline) to vote on a five-year austerity package followed by another package no later than July 3.
We’ ain’t home free once this vote passes, though odds are “reasonably good” that a vote for the government today will translate into a vote for Austerity down the line.
So they real risk is that we get an unexpected no vote today. IF that happens, the government falls and elections are called. The process grinds to a halt and Greece risks default.
Seems to me on a risk/reward basis, a small short EUR/USD would be the way to play…sort of a lottery ticket type thing. Nothing big, and if we don’t drop quick, get the heck out…
