Stock markets were weighed down again by uncertainty over Greece's debt talk. Major US indices closed lower overnight and was followed by general weakness in Asian equities. Yesterday's meeting in Brussels ended early with no progress and the negotiation will continue today. The technical team will meet again at 6am in Brussels after a few hours sleep. And further discussion will involve Greek prime minister Alexis Tsipras, IMF chief Christine Lagarde, ECB president Mario Draghi and EC president Jean-Claude Juncker at 9am. There are speculations that failure to reach an agreement within this week will raise the chance of capital control to prevent a run on Greek banks. Even if a deal is reached, Tsipras will still need to go through a vote in the parliament for endorsement. And that would also be followed by a vote in Germany.
The forex markets are generally steady with major pairs and crosses staying inside last week's range. Yen is mildly higher against dollar and European majors on risk aversion. But that was overwhelmed by resilience in Aussie and Kiwi. Among the European majors, the Swiss franc is the relatively weaker one over the week while Sterling suffers mild selling pressure today. The greenback remains the strongest major currency this week, next to kiwi but is generally lower today. Traders are generally cautiously waiting or the development in Greece.
On the data front, German Gfk consumer sentiment and UK CBI reported sales will be released in European session. Attention will mostly be on US data. Personal income is expected to rise 0.5% in May while spending is expected to rise 0.6%. Initial jobless claims are expected to rise slightly to 271k in June 20. Dollar's fortune will be mainly tied to development Greece anyway.