The markets generally have continued to stabilize after the Greeks appear to have backtracked in their willingness to accept certain austerity measures as a condition of further financial assistance and the measures that the Chinese government instituted to bolster her failing equity markets appear to have worked for the moment.
Crude prices slid after a Greek deal hope rally, only to be slowed by a report by the IEA. The report warned that demand for oil will slow in 2016, and Greece, China and the potential return of Iranian oil is not going to improve that outlook.
China’s stock markets continued their decline overnight with the Shanghai SE Composite falling another 4.64% and down of 32% since June 12. Markets have begun seizing up as sellers overwhelm the system.
Crude oil prices have been in a selling mode for most of this week on a combination of the evolving situation in Greece, a sell-off in Chinese equities and the growing possibility of an Iranian nuclear deal. All three areas can potentially lead to the current oversupply of oil growing even further.
The U.S. Comex gold futures dropped 0.94 percent this week and fell 1.64 percent this month to end at $1,152.60. Month-to-date, the S&P 500 Index returned 0.91 percent while the Euro Stoxx 50 Index fell 3.74 percent.