Hungarian Rescue Talks Fail - News and Current Events | futures trading

Go Back

> Futures Trading, News, Charts and Platforms > Traders Hideout > News and Current Events

Hungarian Rescue Talks Fail
Started:December 16th, 2011 (09:00 AM) by Quick Summary Views / Replies:169 / 0
Last Reply:December 16th, 2011 (09:00 AM) Attachments:0

Welcome to

Welcome, Guest!

This forum was established to help traders (especially futures traders) by openly sharing indicators, strategies, methods, trading journals and discussing the psychology of trading.

We are fundamentally different than most other trading forums:
  • We work extremely hard to keep things positive on our forums.
  • We do not tolerate rude behavior, trolling, or vendor advertising in posts.
  • We firmly believe in openness and encourage sharing. The holy grail is within you, it is not something tangible you can download.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

You'll need to register in order to view the content of the threads and start contributing to our community. It's free and simple, and we will never resell your private information.

-- Big Mike

Thread Tools Search this Thread

Hungarian Rescue Talks Fail

Old December 16th, 2011, 09:00 AM   #1 (permalink)
Quick Summary
Hungarian Rescue Talks Fail

Something is decidedly strange in Europe today: while there has been a favorable shift in bond spreads with the 10 year BTP dropping to 6.4% (although still waiting for LCH to react to its margin cut even as spreads are 100 bps wider) it is the 3M EUR/USD cross currency basis swap that has us confused as it has mysteriously moved violently tighter, from -140 bps to -121 bps overnight, indicating someone may know something in advance of yet another central bank liquidity infusion. As for the catalyst why one may be needed, we go to Hungary where we learn that "rescue" talks with the IMF and EU "on securing some form of backing to reassure investors" have broken down. As a reminder, should Hungary go, Austria and its billions in CHF-denominated mortgages will almost certainly be next, and with it a test of the SNB's EURCHF floor.

From Reuters:

European Union Economic and Monetary Affairs Commissioner Olli Rehn interrupted informal talks with the Hungarian government as the Commission did not receive assurances about the government's plans regarding its new central bank law, his spokesman said.

"The commission decided to interrupt the preparatory talks in Budapest," Amadeu Altafaj told Reuters over the phone on Friday.

"Unfortunately we did not receive assurances concerning the intentions of the Hungarian government, (which went on) to push forward in parliament the vote of the law that could potentially undermine the independence of the central bank," he said.

Which brings us to the original point - we may have reached the point in Europe, so familiar to US investors, where bad news is actually good news (remember the Fitch downgrade of all key European banks last night? neither do we), whether due to increased repatriation of EUR or rising expectations of liquidity bail outs.

Or maybe everyone just wants the day, the week and the year to be over as nothing makes sense any more.

Both work.

More on ZeroHedge...

Reply to share your thoughts on this current event.


Reply > Futures Trading, News, Charts and Platforms > Traders Hideout > News and Current Events > Hungarian Rescue Talks Fail

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Upcoming Webinars and Events (4:30PM ET unless noted)

An Afternoon with FIO trader bobwest

Elite only

NinjaTrader 8: Programming Profitable Trading Edges w/Scott Hodson

Elite only

Anthony Drager: Executing on Intermarket Correlations & Order Flow, Part 2

Elite only

Adam Grimes: Five critically important keys to professional trading

Elite only

Machine Learning Concepts w/FIO member NJAMC

Elite only

MarketDelta Cloud Platform: Announcing new mobile features

Dec 1

NinjaTrader 8: Features and Enhancements

Dec 6

Similar Threads
Thread Thread Starter Forum Replies Last Post
If 90% of traders fail, why not just do the opposite? chrisflow Psychology and Money Management 42 February 26th, 2015 10:55 AM
Why Goldman Sachs Alumni Often Fail Elsewhere Quick Summary News and Current Events 0 November 1st, 2011 01:00 PM
The Rescue That Missed Main Street kbit News and Current Events 0 August 31st, 2011 06:57 PM
Statistic to the rescue trendisyourfriend The Elite Circle 6 September 22nd, 2010 10:41 AM
Epic Fail Big Mike Off-Topic 13 August 19th, 2009 02:40 AM

All times are GMT -4. The time now is 08:13 AM.

Copyright © 2016 by All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts

Page generated 2016-10-23 in 0.07 seconds with 20 queries on phoenix via your IP