Greece Denying a Default – Again


The Greek finance minister denied talk about Greece discussing a restructuring of debt with its creditors. This is not the first time. Jamie Coleman reports about this and adds details.

Having to deny restructuring / burden sharing / default / not paying debt, so many times, isn’t so hopeful. Too much of “no smoke”, and eventually we’ll see the fire.

My EUR/USD 2011 predictions focused on Spain and weren’t so pro-Euro. Now we got a reminder that the first country that was bailed out isn’t doing to good as well.

A test for the situation in Europe will come from Portugal, which makes its debut debt raising effort. A success on Wednesday’s auction will boost the Euro, while a failure rock the domino cards. Some say that Portugal will be the last domino, rather than just another one before the really big country – Spain.

Spain doesn’t have an auction this week, but has a lot on the road ahead, during the first half of 2011. There’s a fear of “Credit Crunch 2” that will occur this year.

Maybe China will buy Spanish bonds and save the day…

This will certainly be an interesting year.

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Yohay Elam – Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I’ve accumulated. After taking a short course about forex. Like many forex traders, I’ve earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I’ve worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.