-Banks deposit 251bn euros overnight at ECB
-Greece auctions 4.1bn euros in T-bills

FTSE-100: -0.55%
Dax-30: -0.80%
Cac-40: -0.59%
FTSE Mibtel 30: 0.02%
Ibex 35: 0.15%
Stoxx 600: -0.40%

The main European Equity benchmarks are now registering large losses. That after a public disagreement between the International Monetary Fund and the Eurogroup came to light last night.

More specifically, Eurozone Finance Ministers -whose official grouping is known as the Eurogroup- wish to extend the date for Greece to meet its target of reaching a public debt to gross domestic product ratio of 120% to 2022, instead of 2020.

The IMF, however, apparently does not see a need for that.

In the final analysis the falling out seems to come down to whether or not European governments have to take write-downs on their holdings of Greek debt or not.

As well, the Eurogroup´s proposal entails that a solution must be found to the funding gap -of approximately €33bn- which will arise as a result of following the above course of action.

Nevertheless, different reports are again indicating that so long as Greece does what it needs to then European authorities will continue to find ways to keep it inside the single currency. In other words, Brussels at least seems to have garnered sufficient support for that.

Furthermore, Greece´s succesful auction of €4.1bn in T-bills this morning means hat it now has nearly enough funds to roll over €5bn in debt coming due on Friday. Potential further buyers will have until noon on the previous day to present new bids.

Acting as a backdrop, there continue to be latent worries regarding the so-called "fiscal cliff" Stateside.

From a sector stand-point the worst performance on the DJ Stoxx 600 is now to be seen in the following industrial groups: Utilities (-2.93%), Telecommunications (-1.46%) and Basic resources (-1.29%).

Spanish consumer prices in-line

Spain´s consumer price index came in at 3.5% year-on-year in September (Consensus: 3.5%).

French non-farm payrolls were down by 0.3% in the third quarter (Consensus: -0.2%).

Crude off again
The euro/dollar is now falling by 0.19% to the 1.2680 dollar level.

Front month crude futures are now down by 0.841 dollars to the $108.16 mark on the ICE.



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