Grexit fears continue to prop up euro
The uncertainty surrounding Greece continues to weigh on equity markets and at the same time paralysing the EUR/USD rate as no-one – especially the Greeks, International Monetary Fund and European Central Bank – has any idea how things will ultimately pan out over the next few days.
First up we have a Eurogroup meeting today, but judging by the fact that Greece initially handed in a three-page revision to its austerity plans then followed that up with an ineffectual meeting that saw IMF delegates leave after 45 minutes, hopes are not high that they are changing their ways just yet. Considering this, the chances that a meeting will need to be held over the weekend are almost a certainty.
EUR/USD has edged fractionally higher as the likelihood of Greece leaving the eurozone has increased, but with several twists and turns to come this could easily just be a little bit of trigger happy trading.