US Treasury Reveals EV Charger Tax Credit Details Find Out If Your Property Qualifies Now 
Holiday Pause: Gold Prices Remain Steady Amid Economic Shifts 
Spanish Stocks Climb as IBEX 35 Sees Gains in Construction, Telecom, and Petrochemical Sectors 
Sam Altman Says Superintelligence Will Ignite a 10X Boom in AI Breakthroughs Transforming the Future of Innovation 
Australia’s Central Bank Predicts Gradual Inflation Slowdown, Adjusts Economic Forecasts 
Movement Token (MOVE) Soars: Unleashing Potential in the Crypto Market 
BYD Factory in Brazil Faces Investigation as Chinese Workers Found in 'Slavery-like Conditions' 
Taiwan Blocks Uber's Foodpanda Takeover Amid Fears of Monopoly in $950 Million Deal 
Samsung Brings Galaxy Ring 2 and AR Smart Glasses to Galaxy Unpacked 2025 With S25 Series 
Tokyo Inflation Gains Heat as January Rate Hike Expectations Build Around BOJ Policy Moves 
Toyota Targets BYD and Chinese Rivals with Shanghai EV Factory for Lexus Production by 2027 
At a meeting in Frankfurt, the European Central Bank's governing council reinstated the waiver that allows Greek sovereign bonds to be accepted as collateral for regular auctions of ECB cash, despite their junk rating. The waiver would come into force on June 29th. Greek officials are also cautiously optimistic that the governing council will in September approve the country’s entry to the bank’s quantitative easing programme (QE), which would boost the government’s chances of regaining access to international capital markets.
“The governing council acknowledges the commitment of the Greek government to implementing current [bank rescue fund] programme and expects continued compliance with its conditionality,” the ECB said.
The ECB had in May 2010, granted Greek banks a special waiver to allow them to use Greek sovereign bonds as collateral, despite their junk status. However, Greek Prime Minister Alexis Tsipras and his radical Syriza party stormed to power in January 2015, threatening to rescind on the terms of its international bailout. The ECB has since stopped accepting Greek sovereign bonds as collateral on signs that Greece could fall out of its bailout programme. The Greek banks were as a consequence forced to rely on more expensive emergency lending by the central bank of Greece.
However, the shift back to borrowing from the ECB is a positive development for Greek banks. With the decision to reintroduce the waiver for Greece from June 29, the ECB is effectively welcoming Greece back into the fold of fully-fledged eurozone borrowers and lowering the borrowing costs for Greek banks.
Greece’s 10-year bonds advanced for the first time in three days, while the yield on notes due in July 2017 slid to the lowest in two weeks. Greece’s 10-year bond yields fell 11 basis points, or 0.11 percentage point, to 7.89 pct and were holding at 8.002 pct at 1145 GMT.
“Greece showed more willingness for compromise this time and the creditors did not want to have additional headline risk, given the Brexit referendum. In case there is no Brexit, I would expect more demand for Greek government bonds,” said Daniel Lenz, a market strategist at DZ Bank AG in Frankfurt.
