Credit Agricole about Sunday’s referendum: '“yes” vote still seems more likely'
'Risk assets and the EUR have been broadly stable in Asian hours regardless of intensifying uncertainty as related to Greece - It appears that market tensions are unlikely to rise more considerably ahead of Sunday’s referendum
as a “yes” vote still seems more likely, irrespective of Greek PM
Tsipras recommending to vote against creditors’ bailout terms,' Credit Agricole noted.
'Even if not meant to be, the upcoming referendum may be regarded as a way to express opinion on staying part of the Eurozone. Considering that most recent polls clearly showed a preference of staying within the Eurozone and as this week’s painful introduction of capital controls may support such prospects even further, such a view may gain more traction in the days to come.'
'Although all of the above should prevent risk aversion from
rising more considerably, we remain of the view that EUR rallies should
be sold. Any correction risk on the back of a more positive
Greece-related development should stay limited given the ECB’s
aggressive policy stance,' Credit Agricole added
