22 Feb 2012: Greece given 9 days to implement

Major Stories

  • Markets muted on Greek deal caution
    • Stocks: FTSE All World fell for 2nd consecutive day by 0.3%; FTSE Eurofirst fell 0.7%; FTSE 100 slipped 0.4%
    • Currencies: Sterling trades at a 2-month low against Euro; Euro continues at $1.32
    • Debt: UK 10-year Gilts declined 4bp to 2.17%; US 10-year bonds are at 2.07%
    • Commodities: Copper is at $3.83/pound; Gold has fallen 14bp since morning to $1754/ounce; Brent Crude is at $121/barrel
  • Greece bailout agreed, given 9 days to implement before funds’ release
    • After agreeing on the bailout, Eurozone leaders have asked Greece to implement several measures before the funds are released. Many of these measures are ‘much more harsh’ than the original list
    • These ‘prior actions’ include actions from sacking underperforming tax collectors to passing legislation to liberalise the country’s closed professions, tightening rules against bribery and readying at least two large state-controlled companies for sale by June
    • Some assessments say that Greece’s debt will still be 160% of its Economic output in 2020, compared to 120.5% target and critics have questioned if this is a measure merely to delay the eventual bankruptcy of Greece
  • Shell offers £1bn for Cove
    • Royal Dutch Shell looks set to expand into Mozambique after they recently proposed to buy Cove Energy, valuing its equity at £992 million
    • Shell said they were prepared to pay 195p per share which would lead to a combined payout of more than £30 million for Cove’s CEO and Executive Chariman
    • Shell said that this deal would enhance their presence in Tanzania, Mozambique and Kenya, and look to take advantage of the ‘hydrocarbon provinces’
    • The deal is subject to the consent of Mozambique’s Minister of Mineral Resources

2 thoughts on “22 Feb 2012: Greece given 9 days to implement

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s