EUR
News yesterday was heavily geared around the Eurozone, with a gathering between
Greece and its Eurozone creditors that ended up in disarray, increasing the
concerns that the country is potentially edging closer to detaching it self
from The Euro.

Although the gathering was meant to bring both parties together, the breakdown
of discussions in Brussels over the Greek bailout programme appeared to leave
both sides further apart, however there is the possibility of a last minute

EUR
News yesterday was heavily geared around the Eurozone, with a gathering between
Greece and its Eurozone creditors that ended up in disarray, increasing the
concerns that the country is potentially edging closer to detaching it self
from The Euro.

Although the gathering was meant to bring both parties together, the breakdown
of discussions in Brussels over the Greek bailout programme appeared to leave
both sides further apart, however there is the possibility of a last minute
summit on Friday between the Eurozone finance ministers.

The Greek Finance Minister Yanis has stated the terms of the Eurozones
demands are unacceptable, however, the Greek delegation was told that talks
would recommence only if the country was willing to extend its bailout package.
However  a bailout carries a long list of austerity measures
that Greece is reluctant to adhere to.

Yanis Varoufakis made it clear in the discussions that Greece would not
accept prolonging the bail out for six months unless the other 18 members of
the Eurozone agreed to break down the austerity conditions attached to the
deal. Analysts warned that the risks of Greece leaving the euro were
increasing, and that the crisis could be triggered if the European Central Bank
decided that the lack of progress required it to terminate financial aid.

We also had trade balance figures released yesterday from the Eurozone which
showed a positive reading for December coming in at 24.3bn from 21.2bn when it
was expected to come in lower at 20bn.

Key
Announcements:
GBP – 09:30 : UK CPI YOY (Jan) expected to fall to 0.3% from 0.5%
EUR – 10:00 : European Economic Sentiment (Feb) is expected to
rise 51.3 from 45.2#
EUR – 10:00 : German Economic Sentiment (Feb) which is expected to
rise to 55.0 from 48.4

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