Say hello to their little friend, the CAC


The stats are finally in and Greece crossed the finish line with some help by force. A total of 85.8% of Greek creditors participated in the debt exchange and the use of the collective action clause (say hello to their little friend), installed retroactively, will take the amount to 95.7%. The ISDA will meet at 8am est time to discuss and hopefully declare it a CDS payment triggered event. This follows the Greek economy which contracted 7.5% y/o/y in Q4, the 12th quarter of decline in the past 13. After rallying 2.6% over the past 4 days, the Greek stock market is a sell on the news, falling 1.3% and European bank stocks are lower as well. The yields of Spain, Italy and Portugal are lower as banks further put LTRO funds to use. The ECB said 800.6b euros were deposited overnight with them, down 27b over the past 3 days. In Asia, India unexpectedly cut its bank reserve requirement by 75 bps to boost bank liquidity. China’s Feb CPI rose 3.2% y/o/y, below expectations of 3.4% and was followed by weaker than expected retail sales and IP, and loan growth in Feb, all leading to the belief that China will ease again soon. Following Korea, Indonesia and New Zealand, Malaysia left rates unchanged as estimated. Canada said they unexpectedly lost jobs in Feb.

Print Friendly, PDF & Email

What's been said:

Discussions found on the web:

Posted Under