The Greek parliament votes final approval on an austerity package–now the fate of a second rescue package rests with the Germans
Today the Greek parliament passed legislation to implement the austerity package it approved yesterday. That means the Greek legislature has now passed both bills that the European Union, the European Central Bank, and the International Monetary Fund said were required before the troika would pay out the money Greece needs to avoid a default in August.
Today, June 29, Greek Prime Minister George Papandreou won the first vote on a new austerity package designed to 1) keep the cash flowing from the International Monetary Fund, the European Union, and the European Central Bank so Greece avoid a default in August, and 2) win European Union approval of a second rescue package designed to get Greece to 2013 or 2014.
The Greek vote on a new austerity package looks very, very close–if the alternative (default) wasn’t so grim, it might well lose
As of 11:30 New York time on June 28 the euro was up 0.54% or 0.7 cents to $1.4365. The euro should be climbing if the market believes Greek lawmakers will pass the package of tax increases, budget cuts, and asset sales. But it would be up significantly more if the vote weren’t likely to be so close.