Forex - EUR/USD, EUR/SGD Flows: WSJ: Russia Links Loom Larger as Greece Seeks Debt Relief; Ukraine; EUR offers 1.1300

Published at 04:50 (GMT) 29 Jan

     

WSJ: A new Greek government led by the left-wing Syriza party is creating an overlap between the 2 biggest crises Europe has faced in recent years: the deep economic malaise in the eurozone and the war in Ukraine.

Statements this week by members of the new government that distance Greece from EU sanctions against Moscow have made officials in other European capitals wonder whether Greece might obstruct EU policy toward Russia over Moscow's role in the war in Ukraine.

Sanctions against Russia "are harming Europe," Mr. Tsipras said in an interview with the official Rossiiskaya Gazeta: "

On FX, focus on the above resistance by Greece over EU sanctions on Russia. Also focus on the Greece-Troika talks, 2 major issues as highlighted above. Uncertainties continue to weigh on EUR. EUR/USD at 1.1275-77, offers at 1.1300-10, bids at 1.1240-50, stops below, Eye Swiss, US and European sales. Real money, corporates, options bids on dips to 1.12 lows. Stops below.

EUR/SGD off the post MAS surprise highs around 1.54 handle, back down at 1.5260-70, within 1.5250-00 range so far today. Eye break of 1.52 again, eye sub 1.50 to 14-year lows given concerns over Greece. ECB QE, while MAS has already eased before the April meeting.