17042015 Euro Forecast

The Euro suffered from enhanced Greek exit rumours yesterday morning as markets reacted to a story in the Financial Times claiming that the Hellenic nation had asked the IMF for an extension on the repayment of loans due in May. Although Greece denied having made the request, IMF Chief Christine Lagarde acknowledged that the author of the piece was ‘very well informed’ and stated that the IMF would not support a delayed payment. Markets were unimpressed by the issue because it was seen to increase the possibility that Greece could default on its debt.

However, Euro traders were buoyed later on in the evening when Greek finance minister Yannis Varoufakis conceded that Syriza is willing to ‘compromise, compromise, compromise’ in debt negotiation talks as long as the integrity of the Hellenic nation itself wasn’t ‘compromised’.