UPDATE: Denial *GREEK CREDITORS NOT YET DRAFTING FINAL ACCORD, EU OFFICIAL SAYS
Another day, another rumor (not yet denied) of a report that Greece and its creditors are crafting a deal (well durr)... The result, vertical buying panic in US equities, USD dumped (on EUR strength), TSY yields spike 3bps, and Crude oil surges... what a "market"
The Bloomberg headlines...
- *GREECE, CREDITORS STARTED CRAFTING STAFF LEVEL ACCORD: OFFICIAL
- *GREEK BANK DEPOSITS ARE SAFE, GOVT OFFICIAL SAYS
- *GREECE, CREDITORS STARTED CRAFTING STAFF LEVEL ACCORD: OFFICIAL
- *GREEK DEAL TO ALSO INCLUDE LONG TERM SOLUTION ON DEBT: OFFICIAL
- *GREECE TO CHANGE PENSION SYSTEM, WON'T CUT PENSIONS: OFFICIAL
As Bloomberg reports,
Brussels Group of Greek officials, representatives of creditor institutions to start drafting Staff Level Agreement today, a Greek govt official says in e-mail to reporters.
- Agreement to envisage low primary budget surpluses, no recessionary measures, sales tax overhaul, medium-term agreement on Greek debt relief, growth package
- Agreement will not include additional EU1.8b in measures
- Agreement will also envisage pension system reform, limiting early retirement, unification of pension funds; no pension cuts included
- Disagreement between creditor institutions remains a problem; if it wasn’t for the IMF, agreement would have been reached by now
- Creditor institutions should assume historical responsibility toward Greece, common European vision
- Greek PM Alexis Tsipras will be in constant contact with other leaders, to facilitate reaching agreement
- Greek deposits, financial system are safe
And the result...
[8]
The farce continues:
- *GREEK CREDITORS NOT YET DRAFTING FINAL ACCORD, EU OFFICIAL SAYS
but
- *TSIPRAS SAYS COUNTRY CLOSE TO DEAL WITH CREDITORS
So which is it?
