My last (last week) post on global markets was not to optimistic. Over the weekend, the following was also not favorable
· Less than 75% of banks sign up to Greece buyback (expectations is 90%)
· European liquidity increases next day cost
· Germany rejects using ECB leverage to increase rescue fund size
· Italy debt review by Moody’s downgrade
· Spanish debt surges 2nd Q record
· Papandreou cancels US trip
As at point of writing Singapore time 440 am, the commodities currencies are trading much lower from Friday night’s closing. This is a sign of risk-off. I would suspect that
· Asia Gold would trade much higher
· Crude oil to fall
· Vix to move much higher.
With reference to investors' mindset, it is normal that the Asian investor would take over the baton from US closing. ......
