ForexLive Asian market wrap: EUR opens lower after EU FinMin meeting

ForexLive Asian market wrap: EUR opens lower after EU FinMin meeting

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• Conference call between EU/IMF and Greece has been pushed back to 16:00 GMT
• More from IMF’s Traa…
• AUD/USD bounce stalling into offers in the 1.0260′s
• More Greek FinMin: Grecce must proceed with privatisations, reforms with no delay
• ECB Liikanen: Recession Danger If Confidence Not Boosted Fast
• ECB’s Liikanen: Outlook for world economy has deteriorated rapidly
• IMF’s Bob Traa: Strongly disagrees with those saying Greece EUR/IMF program not successful
• Greek FinMin: Must exit vicious cycle of debt crisis as soon as possible
• Greek Finance Minister, EU and IMF to talk at around 12:00 GMT
• Hedge fund heavyweight says gold bet not over
• Talk Bank of Korea sold US dollar near KRW 1,140 – Traders
• Ex US Treasury Summers: EU states must reduce “financial autonomy” if euro is to survive
• Eurostoxx 50 futures down 2% early
• Repeat:Germany Schaeuble:See Big Parl Majority For EFSF:Press
• Repeat: Weidmann Reaffirms Opposition To ECB Bond Buys: Press
• Seasonal patterns: USD/JPY
• OPEC Sec Gen: U.S. economy not growing as previously expected
• Can China escape as world’s debt crisis reaches Act III
• ForexLive Asian market wrap: EUR opens lower after EU FinMin meeting
• AUD/USD following equity markets lower

Conference call between EU/IMF and Greece has been pushed back to 16:00 GMT Posted: Say Greece finance ministry officials.

More from IMF’s Traa… Posted: Greece needs to be aware that structural reforms  take time Needs to clean it’s economic legislation and set the economy free Greece has huge support from EU members.

AUD/USD bounce stalling into offers in the 1.0260′s Posted: Fairly reasonable bounce from earlier lows of 1.0213 , but some headwinds building towards 1.0270 and 1.0300 where reports in Asia were of some sovereign offers. On the flip side there are bids around 1.0200 with talk of system/model account sell orders down through 1.0170. We’re  around 1.0265 now

More Greek FinMin: Grecce must proceed with privatisations, reforms with no delay Posted: Greek public sector must have size that economy can carry Confident will get sixth aid tranche from EU/IMF bailout loan

ECB Liikanen: Recession Danger If Confidence Not Boosted Fast Posted: HELSINKI (MNI) – The global economy could fall back into recession unless actions are taken quickly to boost economic and financial confidence, European Central Bank Governing Council member Erkki Liikanen said Monday. In a written statement issued by the Bank of Finland, which he heads, both Liikanen and the bank itself described a precarious and [...]

ECB’s Liikanen: Outlook for world economy has deteriorated rapidly Posted: Euro zone growth risks are substantially on downside, inflation risks have changed Must continue to monitor all developments very closely Recapitalising banks most effective tool to restore confidence, primarily shareholders’ task Sovereign debt crisis not just individual countries’ problem, but systemic euro zone crisis If Europe fails to constrain crisis, loss of confidence will undermine [...]

IMF’s Bob Traa: Strongly disagrees with those saying Greece EUR/IMF program not successful Posted: Greek govt had no other choice but focusing efforts on stabilising economy Greece deserves credit for fiscal efforts under EUR/IMF plan so far Immediate challenges facing Greece continue to be in the fiscal area, weaker than expected economy Greece needs underlying structural reforms Additional measures will be needed in Greece to cut deficit to suistainable [...]

Greek FinMin: Must exit vicious cycle of debt crisis as soon as possible Posted: July 21 EU scheme can secure the viability of Greek debt Liquidity problem in Greek economy is top priority Must do all that is needed to attain competitiveness Recession to reach -5.5% in 2011 Target is to have primary surplus in 2012 Greece must stop creating deficits, more debt Govt forced to make up for [...]

Greek Finance Minister, EU and IMF to talk at around 12:00 GMT Posted: Dow Jones reporting.

Hedge fund heavyweight says gold bet not over Posted: Bloomberg article.

Talk Bank of Korea sold US dollar near KRW 1,140 – Traders Posted: Meanwhile, the Vice Finance Minister says South Korea has been informally discussing with China expanding use of local currencies in trading.

Ex US Treasury Summers: EU states must reduce “financial autonomy” if euro is to survive Posted: Europe needs fiscal, monetary stimulus now

Eurostoxx 50 futures down 2% early Posted: DAX futures down 1.8%, CAC 40 futures down 1.6%.  Risk off to start the week.

Repeat:Germany Schaeuble:See Big Parl Majority For EFSF:Press Posted: –Story originally transmitted on Sunday at 1753 ET BERLIN (MNI) – The German government will win a large majority in parliament on September 29 for its bill on the reform of the European Financial Stability Facility (EFSF), German Finance Minister Wolfgang Schaeuble said in an interview published Sunday. “The majority in the Bundestag [the lower [...]

Repeat: Weidmann Reaffirms Opposition To ECB Bond Buys: Press Posted: –Story originally transmitted on Sunday at 1753 ET BERLIN (MNI) – European Central Bank Governing Council member Jens Weidmann in an interview with German weekly Der Spiegel published Sunday again argued against further purchases by the ECB of bonds of highly indebted Eurozone member states. The Bundesbank president criticized that the Eurosystem has taken “significant [...]

Seasonal patterns: USD/JPY Posted: If you’ve paid much attention to the stock market of late, you’ve probably heard on multiple occasions how September is a seasonally bad month for stocks. What you may not have realized, though, is that there are seasonal or calendar patterns in the forex market as well. At this time of year the most interesting [...]

OPEC Sec Gen: U.S. economy not growing as previously expected Posted: EU debt fears growing Negative economic factors now being seen on oil markets China demand improving, but western stimulus packages not really working Expects China economic growth in 2012 of 8.5% vs 9% in 2011 $16-20 of oil price is supply risk premium Gulf OPEC countries likely to reduce output as Libyan output rises

Can China escape as world’s debt crisis reaches Act III Posted: Love him or loathe him, latest from AEP at The Telegraph.

ForexLive Asian market wrap: EUR opens lower after EU FinMin meeting Posted: The lack of any concrete proposal emerging from the EZ FinMin meeting in Poland saw EUR/USD open 100 pips lower in early interbank trade (for the second Monday in a row) USD/Asia continued to edge higher as foreign investors exited bond markets in particular The Nikkei was closed, other regional bourses fell by 1.5% on [...]

AUD/USD following equity markets lower Posted: The Hang Seng is -2.25% and both Sydney and Shanghai are -1.5%. USD/Asia continues to trade higher as foreign investors get out of the bond markets in particular. USD/KRW traded to 1121 after opening near 1114. All of this is having a negative impact on the AUD/USD, with a low at 1.0229 so far after [...]