Greek Rating Cut to Selective Default by S&P

Papademos Has Votes to Win Austerity But Count Continues

Euro Trading Off Lows on the Following:

• Sarkozy says Euro accord wont include all 27 EU nations.
• Draghi says ‘very good outcome’ for Euro area at Summit talks, more work needed.
• Merkel says tighter budget controls agreed among Euro 17.

Bobbys Corner-Open Market-November.23.2011

Good Morning:

The GBP dropped to it’s weakest level in 6 weeks-after minutes of the last Bank of England meeting showed that many members of the committee feel the need for an increase in the ongoing stimulus program.
In further news from the Euro Zone-the Euro fell to a 6 week low against the USD as data suggests that the sovereign debt crisis that is plaguing the region will directly effect growth within Europe.
Fitch rating have stated that the continued debt crisis  now facing France-may have a negative impact on their AAA rating.  With the latest increase in French government debt-their ability to absorb any fresh “shocks” will be difficult to control.

World equity markets are lower-as are US Futures.

Oil, Gold, and silver are all lower also.

I want to wish everyone (who celebrates this holiday) a HAPPY THANKSGIVING.

HAVE A GREAT DAY & GOOD LUCK

Spain’s People’s Party Defeats Socialists

The People’s Party in Spain defeated the Socialist party currently winning 182 seats to the Socialists’ 111. Rajoy of the People’s Party had the following comments that resulted in a muted reaction from the Euro as it trades above the 1.35 handle. This win represents the largest Spanish Legislative majority in 29 years.

• Only enemies are deficit, unemployment, excess debt.
• Spain in most ‘delicate’ situation in 30 years.
• Calls for unity in ‘common effort.’
• Say’s Spain’s voice must be respected again in Brussels.
• Will return Spain to the ‘top of Europe.’
• There are ‘difficult times ahead.’
• Work starts tomorrow; task ahead is not easy.

Papandreou to Step Aside as Prime Minister

News ahead of the open that Greek Prime Minister Papandreou will step aside and a new Premier will take office on Monday has moved the EUR/USD pair higher through the 1.38 handle. Perhaps more importantly the Greek parties have agreed to form a unity government.

Euro Gains Light Bid on Greek Update

The EURUSD pair moved above the 1.37 handle to a high 1.3720 on a report from a Greek government official stating that the cabinet decided to give Prime Minister Papandreou unanimous backing for his plans to hold a referendum.

Sarkozy Estimates EFSF Bailout Fund Worth $1.4Trillion

The EUR/USD has continues higher pushing the 1.40 handle

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