Major overnight headlines:
• Portuguese Foreign Minister resigns overnight following Finance Minister Gaspar’s earlier decision to quit, Bloomberg
• Portuguese 2-yeear yield hits high of 5.06% this morning, from 3.50% late yesterday
• EURO STOXX Banks Index falls back to lowest trading range since early September 2012, pre-OMT announcement
• UK Services PMI at 56.9 in June versus 54.5 expected, new business index to nearly 60
• German Services PMI in at 50.4 in June (F) versus a reading of 51.3 expected
• RBA’s Stevens says “surprised FX took so long to push A$ lower, given terms of trade shift, Bloomberg
• Italian Services PMI falls to 45.8 in June from 46.5 versus 47.0 expected
• Fin Min says Greece expects deal with lenders by Monday on all issues save public sector reforms, Thomson Reuters
• Senior official says disbursement of Greek aid not possible for 3 mos. unless Troika review concluded, Thomson Reuters
• Riksbank leaves policy stance, forecasts unchanged as Services PMI falls to
Read the full report: FX Daily
BMO