S Greek debt deal view hits banks

holiday to hit volumes

By Simon Jessop

LONDON, July 4(Reuters) European share prices were flat on buy canada goose jacket Monday and on course to snap a five session rally after credit rating agency Standard Poor raised fresh concerns over private sector involvement Canada Goose online in canada goose black friday sale a second cheap canada goose uk Greek buy canada goose jacket cheap bailout package, hitting banks sharply after a strong rally last week.

S said canada goose uk shop current French plans canada goose to roll over Greek debt held by private banks canada goose coats would likely constitute a default increasing uncertainty over the structure of a future debt deal and prompting profit taking among major banking stocks.

The cost of insuring Greek sovereign debt against default canada goose store rose on the S comments, with five year credit default swaps (CDS) on Greek government debt up 48 basis points at 1,900 bps (19 percent).

By 0829 canada goose uk outlet GMT Canada Goose Online the STOXX Europe 600 Banks index was down 0.9 percent, leading sectoral fallers across the canadian goose jacket region after a 7.6 Canada Goose Coats On Sale percent gain last week, after Greece backed the austerity cuts needed to secure near term funds.

European leaders over the weekend released their portion of a 12 billion euros ($17 billion) tranche of funds, with the International Monetary Fund expected to follow suit at a meeting later this week.

primary concern with the Greek situation is the rolling (over) of the debt, and how much time Canada Goose Parka we actually bought ourselves in the interim. investment canada goose coats on sale bank.

The S comments puncture some of the enthusiasm that was built up last week added Keith Wade, strategist at Schroders.

Among major bank stock Canada Goose Jackets movers, French banks Societe canada goose factory sale Generale, Credit Agricole and BNP Paribas were all down between 1 percent and Canada Goose sale 2 percent.

The Thomson Reuters Peripheral Eurozone Banks index, meanwhile, was down 0.7 percent.

While the main FTSEurofirst 300 share like it index remained in a tight range, flat at 1,119.39 points, investor sentiment as measured by the Euro STOXX 50 volatility index rose more than 3 percent as investor demand canada goose clearance for riskier assets fell. data, while overnight gains in Asia were also acting as support. markets will remain closed on Monday for the Independence Day holiday. investment bank said. will be some reasonable activity between, say, 8 and 1030 and after that volumes will taper off for the rest of the day.

leads to increased volatility, so you could see a wild move coming from nowhere with no real rationale canadagoosejacketsaleca Canada Goose Outlet behind it, he added.

In spite of the subdued opening to the week and the S comments, Ian Scott, Global Head of Equity Strategy canada goose clearance sale and Quantitative Research at Nomura, said he remained positive uk canada goose on European equities.

think there will eventually be a deal (on Greek debt), even though it may take some canada goose uk black friday time, said Scott, who has upgraded his stance on continental European shares to from

A sector note over the weekend from Nomura said the overall equity risk premium over government bonds in Europe stands at lofty 9.5 percent on our calculations, out of line with realised and implied volatility ($1=0.705 euros) (Editing by Greg Mahlich)

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