What will the Greek referendum bring?

Thursday was a relatively quiet day for the euro as it stayed flat against sterling, but pushed slightly higher against the US dollar. Investors remained, for the most part, focused on the Greek referendum on Sunday which will decide the country’s future in the euro zone – and banks will remain closed today; likely to re-open this coming Tuesday.

Hopes for a last minute deal between Greece and the Eurozone were quashed on Wednesday after the Greek Prime Minister Alexis Tsipras started campaigning to reject the terms of an international bailout deal, and polls suggest that this Sunday’s voting will be a tight race and difficult to predict.

We have the Eurozone Services Purchasing Managers’ Index for June and retail sales data from Europe released ithis morning; this is likely to have a minimum impact on the markets, but should give a good indication on the strength of the Eurozone economy in recent weeks.