Portugal will receive another trance from the IMF, which is estimated at €1.48 bn. So far, Portugal has already received €21 bn. The overall sum requested by Portugal is estimated at €78 bn.
The financial aid will be provided on condition that the Portuguese authorities reduce the budget deficit. The target level is 4.5% of the national GDP this year and 3% next year.
So far, the Portuguese government has been good at implementing the deficit reduction plan. There are positive changes: the budget and external trade deficits keep shrinking.
However, the economic situation in the country is complicated by the weakness of the financial sector. The Portuguese Department of Finance allocated €6.5 bn for the sector in early June.
Forex.
According to , EURUSD continues staying within the price range formed by wave a(C )/C. In order to resume the mid-term downtrend, the currency pair will have to overcome the bottom of the MF sloping channel and consolidate below 1,2176. In order to resume the recent rally, the price will have to consolidate above the local high located at 1,2316.
