Monday, January 19, 2015

Global Financial Report ( January 19-20 , 2015 ) - Financial News and view focusing on Asia and Europe

Evening Tweets....






You can't solve the Greek problem with "labour market flexibility" it needs economic policy flexibility (out of the Euro)








US Bond yields fall on selloff, stimulus hope. 30yr treasury bond yield plunges to record low of 2.38%.











falls again as cuts forecast; hints at $25 oil.








Ouch! ’s economic collapse owes a debt to . Market prices default risk at 99%.
















Morning  Tweets..... 1/20/15




Greece cannot rebound without debt cut, says SYRIZA economist





SYRIZA candidate promises rehiring of 'unlawfully' sacked civil servants







Russia's external debt fell by 18% in 2014 — Central Bank A likely result of sanctions





Ukraine Central Bank seeks to limit forex exchange outlets - Pysaruk




economist: no , but 50 % haircut on debt.





Why is Europe worrying about SYRIZA? blogs on whether concerns are exaggerated.






QE exclusion a ‘de facto ’ - Alarm in Athens: ECB excludes Greek bonds from acquire list.

At the Finance Ministry they say that a possible exemption of Greece from the program would constitute a “de facto Grexit” for three reasons. The first is that it would be unprecedented for Greece not to benefit from an ECB decision regarding the Eurosystem. If Greece is left out, that would effectively mean the country being excluded from decisions for the other 18 eurozone members.


Secondly, it would put an end to ECB President Mario Draghi’s pledge that as long as Greece is in a program, the ECB will support it; and last but not least, there will be two-speed yields in state bonds within the eurozone: One will concern the Greek bonds that are already hovering around 10 percent – and will likely grow further if Greece is excluded from the QE – while the bonds of all other eurozone states will not exceed 2 percent.





Russia dep CenBank governor says there is ZERO chance of sov default. Mr. Market not convinced






rebounded after biggest loss since 2008 and yuan gained as country’s economy expanded more than estimated.

posts slowest growth in 24 years, more support measures seen.




Brent crude oil drops as Lowers Global Growth Forecast by Most in Three Years.











Evening Tweets...








I

t's just a joke now: TURKEY SEES RATE CUT TOMORROW BY CENTRAL BANK, DEP. PM SAYS. And Hollande agrees?







Peter Boehringer Comments re Bundesbank´s Announcement of 2014 gold repatriations to Germany (120 tonnes)











This is the Swiss curve. Negative to 10 years versus negative out to 8 years on the 15th

Embedded image permalink





Fitch on liquidity risks for : Greek banks have currency swaps on their Swiss franc-denom assets (largely mortgages),totalled €12.5bn






BNP Paribas on Danish central bank's surprise rate cut. Expects deeper negative rates after ECB meeting Thursday.



Hartnett: "there is now $7.3 trillion of negatively-yielding government debt in the Eurozone, Switzerland & Japan"


Unprecedented collapse in global collateral once ECB launches QE: negative 10Y everywhere




Morning Tweets.....






GERMANY SAYS ECB IS INDEPENDENT, MERKEL’S SPOKESMAN SAYS. And Mario Draghi will repeat this as soon as he gets German permission











CHINA ECONOMY FACES RELATIVELY BIG DOWNWARD PRESSURE, LI SAYS. Brent +5%








GERMAN 10-YEAR BUNDS RISE; YIELD FALLS 2 BASIS POINTS TO 0.43%. Only 23 bps wider then Japan



















Syriza’s Greek trilemma





Nigeria's currency slides to new nadir as current account deficit looms.












Even becomes more Japanese. 10year JGB bond yield falls to record low of 0.2%.











Is the Danish Krone the next currency peg to fall?






EU Council not to decide on anti-Russian sanctions on Jan 19 — EU foreign policy chief






New Democracy will do 'whatever it takes' to prevent SYRIZA win, says minister






IMF's Lagarde warns of consequences to Greek debt restructuring




Any new Greek government will have to continue reforms, says Juncker






Grexit the only way out of ‘valley of tears,’ says Hans-Werner Sinn





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