Dr. Platon Monokroussos, Chief Market Economist, Deputy General Manager, Eurobank Ergasias S.A
HIGHLIGHTS
WORLD ECONOMIC & MARKET DEVELOPMENTS
GLOBAL MARKETS: Following the negative tone in Wall Street overnight, most Asian bourses edged lower on Tuesday. Elsewhere, major European bourses received some respite and opened higher on Tuesday, breaking a five-day losing streak. In FX markets, the US dollar firmed ahead of the start of the two-day FOMC policy meeting which concludes on Wednesday.
GREECE: According to press reports, talks between domestic authorities and the technical teams of the four institutions (i.e. EC, ECB, IMF and ESM) on a new 3-year ESM loan began earlier today at the State General Accounting Office. Local media report that discussions will focus on the current state of the Greek economy, the banks and the State budget execution.
SOUTH EASTERN EUROPE
ROMANIA: The government reportedly called on Monday an extraordinary 3-day parliamentary session for late August in order to reassess tax cuts planned to come into effect over 2016-2019.
CESEE MARKETS: Taking their cue from gains in European stock markets amid upbeat Q2 corporate earnings results and M&A news,  CESEE bourses moved broadly higher earlier today. Elsewhere,  CESEE currencies tread water and government bonds were mixed in European trade on Tuesday as caution prevailed ahead of the FOMC meeting later in the week.
