16th Jul - EU Open: Spanish Subordination

Morning briefings + surprise European news from the ECB, good QE piece from UBS and Pictet's monthly report.

Weekender: Views & Off-Topics my views, Finnish articles, off-topics

Weekender: World, Markets, Trading (updated)

Weekender: Weekly Support weekly reviews and previews (updated)

Best of The Week

Follow ‘MoreLiver’ on Twitter or Facebook

News roundup – Between The Hedges

The 6am Cut London – alphaville / FT

Emerging Markets Headlines – beyondbrics / FT

TV: Bloomberg, CNBC, BBC

Debt crisis: live – The Telegraph

The Euro Crisis Blog – WSJ

Tracking Europe’s Debt Crisis – NYT

FX Options Analytics – Saxo Bank

European 10yr Yields and Spreads – MTS indices

Asia today: Bernanke QE hopes lift risk appetite (for now) – Saxo Bank

A Tokyo holiday ensured a quiet Asian session with risk currencies locked at slightly higher levels after the strong rebound seen towards Friday's close. Trading with a positive bias was the name of the game though the rally did run out of steam.

Market Preview: Eurozone CPI on tap – Saxo Bank

European markets are likely to open in the green Monday ahead of Eurozone CPI data which is expected to show a steady annual inflation rate. Market speculation that China might take measures to boost the economy has spurred investor sentiment.

Danske Daily – Danske Bank (pdf)

The empire manufacturing PMI will be watched closely in the market as we await Bernanke’s semi-annual monetary policy report to the Senate tomorrow. The weakness in job growth will keep the Fed alert and we still see a good chance of additional easing.

Morning Briefing – BNY Mellon

EURO CRISIS: ECB SURPRISE

ECB Demands Impairment For Senior Spanish Bondholders; Eurocrats Resist – ZH

What's It Mean? – Mish’s

The bail-in Spain — ECB edition – alphaville / FT

It’s sunk costs all the way down – A Fistful of Euros

So: Ireland’s critical error was to protect legacy bondholders who were completely stuck (the money was long since lent), but now that Ireland made that error, we can’t let Spain come up with a better policy because then there would be questions about Ireland.

Pick The Subordinated Bond Out – ZH

OTHER

Waiting for direction – Humble Student of The Markets

This stock market has been a difficult one for traders and investors alike.

Does QE Really Work? The Evidence To Date – ZH
UBS: Empirical studies of the effects of the Fed's balance sheet operations suggest that QE designed to address general economic malaise is less potent than a program targeted at a specific market dysfunction.

A Weak Start to Earnings Season – Zacks / PragCap

We have results from only 32 S&P 500 companies at this stage, but what we have seen thus far — in terms of the actual reports as well as the pre-announcements — do not inspire much confidence about the rest of the earnings season…By the end of next week, we will have a much more representative sample to judge the quality of this earnings season, as by then we will have seen results from almost a quarter of all S&P 500 results.

Perspectives July – Pictet (pdf)

While the European authorities now have more policy flexibility, Europe’s common resources are still insufficient to meet all the commitments of the over-indebted states. More fundamentally, we see no path towards restoring the competitiveness of the South, whose economies continue to shrink. Their public accounts again show worrying signs of deterioration. The next summit, of the euro finance ministers, takes place on 9 July.

Follow ‘MoreLiver’ on Twitter or Facebook