Courtesy of John Nyaradi.
ETFs and markets sighed in relief today as Greece finally voted on austerity measures
Markets and index ETFs all rose today on positive Greece news, as the SPDR S&P 500 ETF (NYSEARCA:SPY) rose .74%, the SPDR Dow Jones Industrial Average ETF (NYSEARCA:DIA) rose .58%, the PowerShares QQQ Series 1 ETF (NASDAQ:QQQ) rose .92%, and the iShares Russell 2000 ETF (NYSEARCA:IWM) rose 1.29%.
Today was a large day for markets as Greece finally approved its austerity measures necessary to receive EU and IMF bailout money. Later today, however, the EU stated that the bailout money was conditional while credit agency Moody’s axed nine European nation’s credit ratings. With Valentines Day approaching tomorrow, nobody really seems to feel any sympathy for Greece or Europe as their crises rage on.
The continued heat of the tech sector also fueled markets today, with Apple stock (NASDAQ:AAPL) breaking over $500 for the first time in the company’s history. The tech sector has been red hot since the beginning of the year, and does not appear to be cooling off anytime soon.
Tomorrow and Wednesday are big days, as many economic indicators and reports are scheduled for release, including the FOMC statements, homebuilders index, and retail sales reports. Wednesday will be particularly exciting as Germany and other Eurozone members will vote on the Greek bailout package.
Bottom Line: Greece managed to dodge yet another bullet today, however it is unclear how long this band aid will last and if the Eurozone will even accept the already crippled Greek economy. Likewise, I cannot see any other way at this point in time for the Eurozone to save Greece from inevitable default without bailout money, except for default or kicking Greece out of the Euro, both of which would have severe ramifications.
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