Market Movers
Focus continues to be on Greece. Last night the Greek parliament passed the reform legislation needed to pave the way for the EU bailout with a vote of 229 yes and 64 no, see Reuters . Alexis Tsipras faced strong opposition in his own party, Syriza, with more than 30 members voting against the reform package leaving big uncertainty over the government's future. Greece has secured bridge finance through the EFSM for three months making sure a payment to the ECB of EUR7bn due on Monday can be met. The EFSM is an EU-wide facility that has caused anger in Britain.
At the ECB meeting today Greece will take centre stage, see ECB preview: Questions about Greece, Greece and ... Greece . With bridge financing in place the ECB is expected to continue to give life support to Greek banks through ELA funding. On the economic side the euro area has developed broadly in line with expectations since the previous meeting and this will not get a lot of attention at the meeting.
US initial jobless claims are expected to fall to 285k following the rise in the past weeks reaching 297k last week. It still points to a fairly strong job market but indicates a slight loss of growth momentum from Q2 into Q3.
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