MEXICO CITY, MEXICO – With Greece missing its 1.5 billion euro loan repayment in the recent weeks, Forex trading has been seeing an impact. Tensions are high with all sides wondering whether the International Monetary Fund will grant a loan restructuring to the troubled country, a question that has resulted in the euro losing nearly 1% in the course of less than a week (source: http://www.reuters.com/article/2015/07/01/markets-forex-idUSL3N0ZH1JQ2015070). Pablo Soria de Lachica has weighed in on the negotiations and predicts additional Forex effects within the short-term.
“Much of this hinges on the willingness of the IMF to negotiate and restructure the Greek debt,” said Pablo Soria de Lachica. “Needless to say, the impact of Greece leaving the European Union will bring about a domino effect across all Forex markets and currencies. The extent is unpredictable at this time, but we are watching developments closely and advising our clients based on the most current changes.”
According to Soria de Lachica, at this stage in the negotiations the IMF is playing a tight hand, with IMF spokesman Gerry Rice only saying that the Fund’s board will consider a repayment extension “in due course.” In the meantime, a referendum has been offered to the Greek voters, to decide whether to accept bailout terms proposed by the international creditors or whether to continue to resist pressures of the European Union, led by Germany. Unforeseeable consequences would arise should Greece opt out of the euro, a possibility that has widely become known as “Grexit”, with a potentially negative ripple effect across the global economy and in particular currency markets.
“At the moment, the market seems to be responding confidently,” said Soria de Lachia. “There is some faith that Greece will accept the bailout terms following the referendum. Polls show a tight vote though, but it is more than likely that Greece will hold on to the euro. Regardless, market movement will continue with each new poll and development. Uncertainty at least is being reflected with stasis rather than decline.”
Pablo Soria de Lachica is a self-taught Forex expert and collaborator of Kartoshka, a global leader at the forefront of the latest technologies in sales, telemarketing, and customer support. Overseeing multiples of international transactions every year, Pablo has the vital expertise to offer a unique perspective and professional guidance on international trading, investment, and foreign exchange. Having written several informative texts on basic and advanced investment principles, Soria de Lachica frequently offers a series of successful educational webinars.
