Markets headed lower as does the U.S. dollar. Global stocks fell sharply after a tumultuous weekend in Greece's debt crisis, but the broader impact on markets was limited because Greece is no longer so enmeshed in the region's financial system.
Here is the current market situation from CNN Money
North and South American markets are sharply lower today with shares in Brazil off the most. The Bovespa is down 1.99% while Mexico's IPC is off 1.56% and U.S.'s S&P 500 is lower by 1.28%.
Stunned Greeks faced shuttered banks, long supermarkets lines and overwhelming uncertainty on Monday as a breakdown in talks between Athens and its international creditors plunged the country deep into crisis.
Contracts to buy previously owned U.S. homes rose to their highest level in just over nine years in May, in a further boost to the housing market and the broader economic outlook.
$NYA200R chart below is the percentage of stocks above the 200 DMA and is always a good statistic to follow. It can depict a trend of declining equities which is always troubling, especially when it drops below 60% - 55%. Dropping below 40%-35% signals serious continuing weakness and falling averages.
NEW YORK (Reuters) - The borrowing cost on a key source of overnight loans for Wall Street rose on Monday as a breakdown in talks between Greece and its creditors caused a mad dash for cash to fund trades in advance of the end of the second quarter.
NEW YORK (AP) — Global stock markets are stumbling as investors worry about fallout from Greece's deepening debt troubles as talks between the country and its creditors broke down over the weekend. Greece has shuttered its banks to prevent nervous depositors from pulling their money out, and the country faces a deadline Tuesday to may a big debt payment. The Dow Jones industrial average fell 213 points, or 1.2 percent, to 17,733 as of 11:45 a.m. Eastern time Monday. The Standard & Poor's 500 gave up 24 points, or 1.2 percent, to 2,076. The Nasdaq fell 71 points, or 1.4 percent, to 5,009.
SAN JUAN, Puerto Rico (AP) — The governor warned that Puerto Rico can't pay its $72 billion public debt as international economists released a critical report Monday on the island's economy. The news from Gov. Alejandro Garcia Padilla delivered another jolt to the recession-gripped U.S. island, as well as a world financial system already worrying over Greece's collapsing finances. Garcia is scheduled to air a pre-recorded televised address late Monday afternoon as legislators continue to debate a $9.8 billion budget that calls for $674 million in cuts and sets aside $1.5 billion to help pay off the debt. The budget has to be approved by Tuesday. The governor hopes to defer debt payments while negotiating with creditors, spokesman Jesus Manuel Ortiz said late Sunday, confirming comments by Garcia that appeared in a report in The New York Times published that evening.
ATHENS/FRANKFURT (Reuters) - The European Central Bank rejected Greece's request for 6 billion euros of extra emergency funds on Sunday, but is expected to continue limited support for Greek banks until the July 5 referendum, people with knowledge of the matter said.
Europe's Senior Financial credit index traded a stunning 20bps wider at the open to 97bps before giving a little back and holding at around 90bps. This is the biggest spike in European bank risk since May 2010... and is the highest level of risk since December 2013.
Last week's moves by the PBOCâ€"and the market's responseâ€"underline not just investors' dependency on signals from a central bank that often fails to clarify its intentions but also how hard it is for China's leaders to steer credit.
LONDON (Reuters) - Greece is almost certain to miss a 1.6 billion euro payment to the International Monetary Fund on Tuesday but it's touch-and-go whether it will have to leave the euro zone, a snap Reuters poll found.
FRANKFURT (Reuters) - German prosecutors have launched preliminary inquiries into the roles individuals may have played in connection with Deutsche Bank's participation in the interest rate-rigging scandal, the Financial Times reported online on Monday.
WASHINGTON (Reuters) - Contracts to buy previously owned U.S. homes rose to their highest level in just over nine years in May, in a further boost to the housing market and the broader economic outlook.
BlackRock Inc. is seeking government clearance to set up an internal program in which mutual funds that get hit with client redemptions could temporarily borrow money from sister funds that are flush with cash. - Bloomberg News
We may have been early on warning about leaving your savings in the financial system. It's okay to be too early getting your money out of the system but it's fatal to be just one second too late. The gates are already in place in money market funds just waiting for the signal to be lowered
BlackRock's filing with the SEC to enable "have cash" funds to lend to "heavy redemption" funds should send shivers down the spine of anyone with funds invested in any BlackRock fund. In fact, it should horrify anyone invested in any mutual fund.
Larry Fink, BlackRock's chief executive officer, said in December that U.S. bond funds face increased volatility, adding that he expected a "dysfunctional market" lasting days or even weeks within the next two years. - Bloomberg
I warned last summer when the money market funds received authorization to put redemption gates in place that it was time to remove your money from these instruments. The only reason a gate would be needed is if the people running the funds believed ...
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