While nothing of substance came out of the G7 and IMF meetings in terms of currency agreements, the Yuan overnight did rise to another record high vs the US$, up for a 5th straight day and up now 2.3% since the band was widened in mid June. No amount of US jawboning will get the Chinese to allow Yuan appreciation faster than baby steps. Greek debt is rallying again after IMF MD Strauss-Kaun said they would consider extending the payback period of Greece’s bailout plan past 3 yr’s to avoid any kind of debt restructuring. The Germans quickly said no way to that and an EU official said Greece won’t need that kind of help anyway. The Greek 10 yr spread to the 10 yr Bund is falling 43 bps to 708 bps, the tightest since late June and 5 yr CDS is falling 35 bps to 695, below 700 bps for the 1st time since early Aug.
Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.