Risk Off: FX Carry Trades Tumble, Euro Opens Under 1.10; USDJPY Under 121

With nearly 60% of the Greek refrendum vote counted, and the No's leading by a landslide 61%, it is clear that the Troika's gambit failed, unless as Goldman wrote and we first noted, it was the ECB's intention to force a Grexit all along, thus permitting the ECB to engage in more QE: QE which would in Goldman's estimation, push the EURUSD down 7 big figures and further toward parity, sending global stocks soaring in one last central bank-inspired hurrah.

For now, however, while the carry trades are in risk off mode, the drop is not nearly as dramatic, and the EURUSD is trading under 1.10...


... while the USDJPY opened under 122.

Should there be no official statement by the Eurozone fin mins or any support from the ECB, we anticipate the risk off mode will only accelerate overnight, especially if the PBOC fails to support Chinese markets tonight, which - with all due respect to Greece - is the far bigger catalyst to what happens in global stock markets tomorrow, because if the Chinese central banks has lost the market's confidence all bets are off.