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Friday, April 17

17th Apr - European rout, Grexit fears



Previously on MoreLiver’s:

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EUROPE
Peter Doyle: The Euro and the IMF NowFT
 
Charlemagne: Turning FinnishThe Economist
Europe will watch Finland’s election closely—perhaps for the wrong reasons

UK: Strong labour market supports BoE hike in November 2015Danske Bank

ECB’s Praet Says Eurozone Bond-Buying Program Will ContinueWSJ

  GREECE
Greece Enters Twilight Zone as Visions of Euro Exit Take Shape – BB
Grexit Lives As "Deluded" Forecasters Predict The Unpredictable – ZH
Will Greece run out of cash? – Bruegel


UNITED STATES
Core Inflation Jumps Most Since October Due To Rent, Healthcare Costs – ZH
Bonds Drop, Dollar Pops After Hotter-Than-Expected Inflation – ZH


REGULARS
Daily Central BanksWSJ
Hilsenrath’s Take: Draghi and Praet Try to Show Resolve on Bond Purchases * Weak Economic Data Lowering Odds of Fed Rate Increase in June * Fed Is Expected to Shift on Muni Bonds * ECB’s Praet Says QE Will Not End Early * India’s Rajan Okay With Fed Move Toward Higher Rates

Daily MacroWSJ
European equity markets slid sharply in early trade in a seeming absence of substantial news. Yes, the eurozone continued to register negative inflation in March, though that was widely expected. And yes, Bloomberg terminals suffered technical problems making trade difficult, particularly in bonds. But does that explain a 2% tumble in share prices? More likely is that worries about a Greek default and exit from the euro are taking hold again.

Danske DailyDanske Bank

Global DailyABN AMRO
Given recent data a surge in eurozone Q1 GDP looks to be on the cards… adding to our view that growth will surprise to the upside this year * German banks tighten lending standards on mortgages as house prices soar * ECB survey shows that chances of the ECB undershooting its inflation target are falling

Euro rates updateNordea

Eye-OpenerNordea
Long yields approaching zero - 10-year Bund yields down to single digits * EUR/USD fares well despite continued Greek struggles US CPI inflation to creep higher

Morning MarketsTF
EURUSD was embroiled in parity talk last week, but the speculation today is that a strong Eurozone CPI could help propel it toward and perhaps beyond 1.0800 especially as the dollar is still floundering on some less than impressive data recently.

Daily FX CommentMarc to Market
Is the Dollar Breaking Out?

Daily ShotTF
Fears that Greek will be unable to seal a debt deal with its Eurozone partners at the April 24 crunch meeting in Riga have heightened, sending Greek bond yields higher with contagion spreading to Portugal too. As investors scurry for cover, German yields are within a hairsbreadth of zero.

Daily Press SummaryOpen Europe
IMF, Commission and Eurozone united in call for Greece to step up efforts to introduce necessary reforms and reach a deal with creditors * Former Spanish Finance Minister and IMF chief detained on money laundering and tax fraud charges * Schäuble: France “would be happy” to have someone forcing it to pass reforms *

US OpenZH
Global Futures Slide After Worldwide Bloomberg Outage, China Tumbles On Short Selling Boost

FX UpdateTF
Greek tensions flared up again yesterday – so why did the euro rally? Elsewhere, the USD, on its back, foot has GBPUSD approaching the key 1.5000 level ahead of the latest UK employment data.

From the FloorTF
Greece is back in the news as its many woes make their odyssey through financial markets. European stocks are down, peripheral bonds have caught the Athenian flu and only the euro appears immune from the curse.... for now.

Martin Sandbu’s Free LunchFT
Finance and the rule of law - Elizabeth Warren: anti-finance firebrand with pro-market agenda


OTHER
Bonds: When even zero is too muchNordea
It seems only a matter of time before we see the German 10-year yield hit negative territory. After all, broadly positive macro-developments in the Euro area have failed to reverse the downtrend in yields, while real yields have fallen faster than inflation expectations have rebounded. We expect to see the German 10-year yield to trade briefly in negative territory before the summer.


FINNISH
AamukatsausNordea
Kuluttaja ei juhli Venäjällä |  Kreikan mahdollinen euroero kirvoittaa spekulaatiota | Saksan 10-vuotinen korko lipuu kohti nollaa

The Economistin toimittaja: Hassua, ettei Suomessa kukaan puhu elvyttämisestäTE

Etujärjestöjen valta ja tulevaisuusHannu Visti