Bullish sentiment brought about by speeches from Merkel and Bernanke proved to be short-lived as the focus returned to deficit problems in the Eurozone. Uncertainties were seen in Spain, Greece and Ireland. The OECD urged the EU finance ministers to increase the firepower to combat the crisis, saying member states need to deliver “the mother of all firewalls’ to impress the financial markets. The comment is echoed by the Eurogroup Chairman Junker. Wall Street slipped with the DJIA and the S&P 500 slipping -0.33% and -0.28% respectively. In the commodity sector, gold retreated after failing to test 1700 despite the Bernanke bounce with the Comex contract closing largely flat during that day.
Originally posted here:
Renewed Uncertainties in Eurozone Damped Sentiment
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