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E-Mini S&P 500: A proliferation of contagion?
At the risk of sounding redundant, the day was constrained by fear of default by Greece! The first part of the day was bracing for a potential default and later, the slight relief rally came as Greece’s Finance Ministry stated that they were near an accord with their international lenders to continue to receive bailout funds. Athens was encouraged to decrease its public sector and step up on tax collection. Finance Minister Evangelos Venizelos reported a “productive and substantive” dialect with the leaders of the European Union and the International Monetary Fund. Without the secured loans, the Greek nation would perhaps run out of funding by mid-October. It would in a sense be like a house of cards. Italy may for example hold Greek bonds and fall prey to the effects of a potential default. A larger economy may lead to further weakness in the Euro Zone,....