The ‘international’ view of reforms in Greece, the threat of illiquidity and the country’s return to the capital market, scheduled for 2012 – Christoph Weil and me analyse the hurdles Greece has to clear. Greece will probably receive new loans as early as June, possibly coupled with a ‘soft’ restructuring of its debt. Page 2
Further topics:
ECB – Are balance sheet losses a problem? Page 5
Product Idea: Forward Plus on copper: This product offers protection against the expected rising trend of copper prices. Page 6
Outlook for week of 23 to 27 May
1. Economic data: Corporate sentiment in Germany is likely to have deteriorated in May.
2. Bond market: In view of uncertainty regarding Greece and weaker economic data, we see little downside for the Bund future
3. FX market: EUR-USD is likely to remain inside its current trading range of 1.4050 to 1.4450 over the coming week
4. Equity market: German corporate earnings are receiving a tailwind from emerging markets. Any turning points in these markets could be a signal that it is time to alter portfolios.
Commerzbank Corporates & Markets
Economic Research