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23 Jun 2015
‘Greece has a very bad hand right now’ - Citi
FXStreet (Mumbai) - Analysts from Citi believe Greece has a bad hand in the debt negotiations with its creditors, who will use the opportunity to have the reforms they want implemented since the Greek debt crisis is no longer as fearful a scenario for the rest of the euro zone.
Key Quotes:
"It's undesirable, but it's not a catastrophe as it would have been in 2011, 2012," said the head of Citi Global's G10 FX strategy. "So I think that they're going to play somewhat hardball and try and get some of these reforms they actually want."
"Greece has a very bad hand right now," he added.
"Very short term, everybody wants to get to next year,"
"Six months for Greece is a victory, and for Europe, I think that there is this desire to get past the Spanish and Portuguese elections, where many of the same issues could come up again. They don't want to look as though they caved too much."
Key Quotes:
"It's undesirable, but it's not a catastrophe as it would have been in 2011, 2012," said the head of Citi Global's G10 FX strategy. "So I think that they're going to play somewhat hardball and try and get some of these reforms they actually want."
"Greece has a very bad hand right now," he added.
"Very short term, everybody wants to get to next year,"
"Six months for Greece is a victory, and for Europe, I think that there is this desire to get past the Spanish and Portuguese elections, where many of the same issues could come up again. They don't want to look as though they caved too much."