Greek Brinkmanship

Big Picture

February 20, 2015

The focus was on Greece this week as the country continues to try to get an extension to its bailout agreement before time runs out at the end of the month. Germany, the largest euro zone economy, continues to play hard ball refusing to reopen previously agreed upon terms. Whether this is the end of Greece in the euro zone or simply classic end-game brinkmanship is unclear but market response is significantly more muted than the first time around in 2012. Up next is a meeting of euro zone ministers and Greek officials today (Feb. 20) in which a reprieve may or may not be found. Meantime, traders were watching crude oil inventories for any signs of a reduction in terms of supply.