Will Alexis say "NO" to the EU?

The mkt took a break after the weekend 'NO' vote - Nervous? Anxious?.... Somewhat, but the sense is that the mkts and investors are coming to terms with the Greek decision - investors will respect the voice of the people, but what does that really get anyone? The mkt seems to be saying - 'Look - you voted NO to the creditor demands, OK, but you still owe the money, so now what?'

I think that Jean-Clause Juncker - European Commission President - said it clearly - after the European leaders made the point that the 'onus is now on Greece to explain how it plans to pull itself out of the crisis'.....he went onto say that

"I shall therefore be calling on the Greek prime minister to explain the Greek vote because the question is irrelevant, as anybody familiar with the negotiating process knows.”

He is right - the referendum was irrelevant - UNLESS Tsipras now takes the message and tells the EU, the IMF and the ECB to shove it....If he is true to the vote - then the people have spoken - they want nothing to do with the creditor demands - he should walk away...

In fact Jacob Kirkegaard - Senior Fellow at the Peterson Institute - was even more succinct in his analysis saying

"Financially, the euro area has nothing much to salvage in Greece and therefore has even less reason to compromise."

Germany? Well - Angela has planted her feet firmly in the ground warning Lexy that 'time is running out'......and remember - She has a responsibility to her own country - a country that has become increasingly frustrated with the antics....Today's paper - The Bild - has headlines that scream - No More! 'No new billions for Greece'.....

If it is not clear enough - Greece is not in a position of strength - the vise is getting tighter - they have all but run out of money, the country and people are suffering under capital controls, ATM are only dispensing 20 Euros at a time, both banks and the stock mkt are on lockdown further strangling the country, .....more than 24 hrs has passed since this historic vote and still nothing, how much longer before there are uprisings and complete loss of control? And as if this wasn't enough - global mkts did NOT implode - as maybe Tsipras was hoping.....A good global meltdown would have further empowered him as 'the contagion' spread around the world....But that did not happen.....

At the time of this writing - Tsipras's plane has landed in Brussels - the European finance ministers await his presentation.....as the clock ticks - Greece is closer and closer to the much talked about 'Grexit'...In order for this to move forward someone will need to significantly sing a different tune...maybe it is both of them - but after his antics last week - my sense is that he will have to blink first....There is little reason for the Europeans to cave after standing their ground.

Can you just hear Angela belting it out?

"Say you love me every waking moment, Turn my head with talk of summertime. Say you need me with you now and always; Promise me that all you say is true, That's all I ask of you...." - Say You Love Me - Andrew Lloyd Weber - Phantom of the Opera

This morning - European mkts are off small.....yes - over the past couple of weeks - European mkts have been under pressure - in fact yesterday - both France and Spain have joined Germany and are now in official correction territory (not bear territory) as they all are now ready to test their longer term supports (200 dma's)....The key is - can they hold it together? FTSE -0.14%, DAX -0.45%, CAC 40 - 0.61%, EUROSTOXX -0.42%, SPAIN -0.25% and ITALY -0.87%.

US futures are up 4 pts this morning - this after being up 13 pts in early morning trade...there are no significant eco reports today - so expect the focus to remain on Europe and the noise that is generated in Brussels. News reports this morning suggest that there is 'nothing new' in the Greek proposal.....and the ECB has now added 'moral hazard' to the list of reasons to be cautious on lending more money to Greece. Yesterday - we bounced off of the 200 dma again as the mkt looks to stabilize. near term resistance is at 2075 ish....a move up and thru that level will help to calm the nerves of investors.

The dollar continues to strengthen on the European fears. Oil - which moves in the opposite direction of the dollar saw an 8% plunge yesterday on renewed fears of Iranian production causing oversupply in the mkts seems to have found some support here in low 50's... Until there is more clarity on Greece - all assets will remain skittish -

I suspect the S&P will remain in the 2055/2075 range today....but the action will be dependent on the news out of Brussels.

Pasta al Limone

This is absolutely quintessential summer pasta dish…This dish hails from the Amalfi coast – Sorrento to be exact –Sorrento is the coastal town overlooking the Bay of Naples in Southern Italy – the region of Campana and is at the beginning of the Amalfi Drive – this is that long narrow roadway with 110 hairpin turns, carved into the mountains that plunge into the Tyrrhenian Sea. If you have never been there – it is a MUST do experience – Trust me when I tell you – it is spectacular.

This dish is the best served during the summer when you get the best, juiciest Meyer lemons around. Begin by setting your table outside, add the candles and the linen napkins….be sure to include both a fork and a soup spoon for twirling. Complement this with some Frank Sinatra on your stereo – (stereo? Really? Who has a stereo anymore?)

For this you need: lemons, preferably organic, linguini, 2 cloves of garlic, slightly crushed, Olive oil and butter, 2 cups of heavy cream, fresh grated parmigiana cheese, s&p, and a few sprigs of fresh mint, finely chopped.

Take the lemons and grate off the zest – do not take the pith….(the white layer under the zest). Set the zest aside and now cut the lemons in half and squeeze the juice out – set aside.

Bring a pot of salted water to a rolling boil. Once it boils add the pasta

While the water is coming to a boil - it is time to make the lemon sauce: heat a bit of olive oil and one stick of butter over moderate heat in a large skillet. Add the sliced garlic and sauté for about 3 or 4 mins. Now remove the garlic and add the heavy cream – remember – keep the heat at medium – you do not want to curdle the cream. Once the cream is warmed – slowly add the lemon juice – a little at a time……tasting as you go – so that you do not ‘overpower’ the sauce.

Once satisfied that you have just the right amount of lemon flavor – and the right amount depends on your tolerance – err on the side of less – you can always add more if need be. Turn the heat to low - Now add the zest and a handful of the parmigiana cheese, and the pepper – (only add salt after you taste it – the cheese may provide enough salt so you don’t want to overdo it.)

When the pasta is al dente – about 8 mins, Using a spaghetti server – transfer the linguine to the skillet with the sauce - taking the pasta directly out of the pasta water and putting it in the large skillet. (You are not straining the pasta in a colander) Mix well, allowing the pasta to absorb the flavors of the sauce, if it appears to thick – add a bit of the pasta water to thin it out.

Serve immediately, topped with a sprinkling of lemon zest and chopped mint. Always have extra parmigiana cheese on the table for your guests. Enjoy this with a chilled summer Rose.


Buon Appetito.