Daily Market Review 13 of June

The 10-year government dues returns on Spain representation for a day 3 reaching 6.83% which is the highest since 1997 and as predicted. Yesterday the Spain’s standard borrowing expenses move up to a record, raising the anticipation of sovereign bailouts for the government in Madrid and then Italy that would give elasticity to European Union funds to their perimeter. The European Commission estimates that Spain will post insufficiencies of 6.4% of gross native product this year and 6.3% in 2013 straight after presentation 45 billion euros of expenditure cuts and tax growths. The European policy maker’s surface sequences of difficulties in the coming days as bond investors reject the 100 billion euro rescue package for Spanish banks that the European Central Bank yesterday says that they would boost financial stability. Italy is in arrears to sell as much as 9.5 billion euros of bills and bonds at auctions currently and tomorrow while auditors are outstanding to report on the range of Spanish banking sufferers from next week. Italy, bearer of the region’s second- biggest debt load after Greece, is doubtful to requirement of a bailout as its economy is in a improved state than Spain’s. The European Financial Stability Facility campaigns to raise at minimum 1 billion euros through a sale of bonds due April 2037 as banks in Norway and Germany sell comparatively safe enclosed bonds after yesterday’s


EUR/USD


EUR/USD is currently trading at 1.2493; though the initials was negative European news that made euro break paralleled to other high markets, the US stocks bordered higher alongside commodities, assisting EUR/USD to withstand the 1.2500 level. The Support levels are at 1.2484, 1.2441, 1.2402 and the Resistance levels are at 1.2523, 1.2551, 1.2595.