Forex Flash: Gilts reach support at 116.54 – RBS

According to Technical Markets Strategist Dmytro Bondar at RBS, “Gilts have reached a key support level of 116.54 after forming a Tweezer top pattern. The level is likely to determine how much downside will be before turning constructive again. If broken, the price could dip to 116.11 or even 115.75. In the long-term, a pennant on a daily chart suggests there would be good chances of extending the rally to 118.37 onto 119.00. These are Fibonacci levels on a weekly continuation chart, while the caveat would be a sustained break below 116.54.”

Mar 6, 2013

12. Forex Flash: Chavez’s death will not yield immediate effect in Venezuelan sovereign ratings – Deutsche Bank

It was announced that Venezuela's President Hugo Chavez had passed away overnight after a battle with cancer. Vice President Maduro will serve as interim president until the next election, which must be held within 30 days. According to Macro Strategy Analysts J. Reid and C. Tan at Deutsche Bank, “In a national address in December last year, Chavez reportedly called on Venezuelans to unite behind Maduro as his successor.”

The troika back in bailout talks with Cyprus

The EU, ECB and the IMF representatives arrived in Nicosia today, in order to resume negotiations on the rescue plan for Cyprus. The participants hope to reach an agreement by Friday, as the distressed country urgently needs bailout funds to avoid a default.