Global Macro Perspectives
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*** The Economist: Hard times ***
Initial jobless claims in the U.S. were reported at 402.000 vs. 401.000 consensus and last week revised (up 1.000) reading of 404.000.
U.S. GDP growth for Q3 was reported at 2.5%; consensus was at 2.5%. Q2 2011 reading was at 1.3%.
Strong price action in the front end of the curve pushed the WTI into backwardation.
So, the basis of the agreement is a 50% cut in the face value of Greek bonds held by private creditors. The agreement will reduce Greek debt level to 120% of GDP by 2020.