Another twist in the Greek saga, Sweden cuts rates and get your #NFPGuesses ready. Here are some of the things that people are talking about in markets today.
Varoufakis will quit if Greece votes yes
Greek Finance Minister Yanis Varoufakis has put his job on the line: He told Bloomberg that should the Greek people vote to accept creditors' bailout proposals at this weekend's referendum, he will quit. Yesterday Greece's Prime Minister Alexis Tsipras told his country to vote 'no' but as the reality of rationed pensions and closed banks continues to bite, one poll put the yes camp ahead.
Riksbank cuts rates
Paul Krugman once called officials at Sweden's central bank sadomonetarists: He'd probably find it hard to level that accusation this morning. As the Greek crisis flares up and Sweden faces the prospect of a stronger krona, the Riksbank took rates deeper into negative territory and expanded its bond buying plan. Sweden's main interest rate was cut from -0.25 percent to -0.35 percent, a reduction was predicted by only 4 out of the 18 analysts surveyed by Bloomberg.
ECB expands its shopping list
The Riksbank isn't the only central bank making a move today: The European Central Bank added state-back company debt to the list of assets eligible for purchase under its QE program. The debt of Italian utilities Enel SpA and Snam SpA were among some of the securities added to the ECB's shopping list. The ECB didn't increase the size of the overall program but expanding the pool of assets eligible for purchase shows the ECB still has room to do more should it need to.
Another crazy day in China
The Shanghai Composite dropped below 4,000 points today for the first time since April. The benchmark index slipped 3.5 percent despite measures taken by regulators to support equities. The index has plunged 24 percent in under three weeks, wiping out $2.4 trillion of value off its market cap.
Jobs, jobs, jobs
Move over Greece: Today is about the Fed. The U.S Labor Department is expected to say that the U.S. economy added more than 200,000 jobs for the 15th time in 16 months and the unemployment rate is estimated to drop back to 5.4 percent. Another blowout jobs report like last month will back the case for the first Federal Reserve rate hike since 2006 to come in September. Here's a comprehensive job watchers' guide.
What we've been reading
Here's what caught our eye over the past 24 hours.
- Gold shrugs off Armageddon.
- RIP Land Rover's Defender, the greatest car ever.
- Modeling a Grexit is darn near impossible, but let’s do it anyway.
- How Facebook and Campbell Soup are trying to read your mind.
- Viacom is having a midlife crisis.
- More on the cash crunch in Greece that is hitting everyday life.
- The first trailer for Danny Boyle’s Steve Jobs biopic is out.