No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeTopicsBusinessEuro holds steady after Greece defaults

Euro holds steady after Greece defaults

TOKYO, Japan – The euro held steady in Asia on Wednesday as traders shrugged off the widely expected default by Greece, with focus now turning to the weekend’s referendum, which could determine the country’s eurozone future.

The single currency bought $1.1136 and 136.44 yen in Tokyo trade compared with $1.1139 and 136.38 yen in New York late Tuesday.

The dollar was at 122.48 yen against 122.44 yen.

Athens missed Tuesday’s deadline to repay the International Monetary Fund, making it the first developed country to default with the Fund.

However, the lender has still not ruled out a request by Greece to give it more time, giving the government financial room to continue negotiations bailout reform talks with creditors.

“Greece has officially missed its payment to the IMF, but markets are seemingly unconcerned,” said Emma Lawson, senior currency strategist at National Australia Bank.

“We have passed that mattering for now. There is so much uncertainty, speculation, truth and partial truth that many markets are in stasis; waiting to see which way this goes,” she said in a note.

Greek Prime Minister Alexis Tsipras plunged bailout talks with creditors into chaos as he announced a referendum for Sunday on whether to accept reform plans he said would humiliate the country.

The European Central Bank’s governing council is to meet again later Wednesday, with all eyes on whether it will continue to provide liquidity to Greek banks after the bailout program officially expired on Tuesday.

The ECB at the weekend decided to maintain the level of its emergency cash support.

“Most analysis suggests they will not do anything to worsen the situation, but it is likely to remain frozen,” Lawson of National Australia Bank said.

The dollar was mostly lower against other Asia-Pacific currencies.

It eased to 13,309  Indonesian  rupiah from 13,320 rupiah on Tuesday, and to 33.76 Thai baht from 33.77 baht.

It also declined to 63.66 Indian rupees from 63.77 rupees, to Sg$1.3457 from Sg$1.3475, and to 45.07 Philippine pesos from 45.13 pesos.

The greenback edged up to 1,118.73 won from 1,118.68 won, while it remained unchanged at Tw$30.87.

The Australian dollar gained to 77.25 US cents from 76.70 cents, while the Chinese yuan was at 19.73 yen against 19.71 yen.

Trending Now

Paris Louvre Robbery Targets Apollo Gallery Crown Jewels

Robbers wielding power tools scaled a furniture hoist outside the Louvre to make off with priceless jewelry from the world-renowned museum on Sunday, taking...

How to Grow Broccoli Successfully in Costa Rica’s Highlands

In Costa Rica's cooler highland regions, home gardeners harvest fresh broccoli that brings a distinct flavor to everyday meals. This vegetable packs vitamins A,...

Latin America Questions US Boat Strikes in the Drug War

US military strikes that Washington claims have targeted "narco-terrorists" ferrying drugs to American soil are having little to no impact on Latin America's bustling...

Belize Signs Safe Third Country Deal with US for Asylum Seekers

Belize and the United States have sealed a deal that positions Belize as a temporary host for migrants pursuing asylum in the U.S., according...

Costa Rica OIJ Arrests Human Trafficking Ring Exploiting Minors

The Judicial Investigation Agency (OIJ) dismantled a gang dedicated to human trafficking for the sexual exploitation of minors after carrying out 19 simultaneous raids...

US sanctions Colombia’s President Gustavo Petro

The United States announced on Friday financial sanctions against Colombian President Gustavo Petro for failing to combat drug trafficking, drawing a strong response from...
spot_img
Costa Rica Coffee Maker Chorreador
Costa Rica Coffee Maker Chorreador
Costa Rica Travel Insurance
Costa Rica Rocking Chait
Costa Rica Travel

Latest News from Costa Rica