Week in FX Europe – Public Spat has Single Unit Close to the Rail

ECB members are throwing cold water on taking a haircut on Greek debt-declaring it forbidden under the Central Bank Treaty. The public spat seems to be intensifying amongst EU heads about what to do with Greek debt ahead of the Euro-officials meeting next Tuesday November 20. There is an increasing call for the public debt holders to take a ‘haircut’ on Greek assets. The single unit has been held hostage, within a tight range, on whether Spain ‘will or wont’ ask for aid.

The squabbling on how to make the Greek debt manageable is holding up the next tranche of +EUR31b in emergency loans that Greece so desperately needs. The IMF chief is currently enroute to the Euro-group meeting in Brussels, cutting short her Asian stay. Lagarde states that it’s not over until the “fat lady sings”-let’s hope she was not getting personal.

• Draghi Calls EUR an incomplete solution
• Moody’s warns UK it could lose AAA rating
• Eurozone Officially in Recession After Negative Growth
• Official: Europe in Recession Again
• UK Jobless Rate Declines to 7.8 percent
• UK Retail Sales Fall More than Expected in October
• Greek Migration to Germany increased by 80 percent
• Europe Protests!
• Foreign Investments Purchases driving GBP higher
• Greece needs another +EUR32b If Target Moved
• Spanish PM Looks to Rush Through Changes
• Greece move 1 step closer to receive Bailout Aid

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