What might influence European assets till the referendum?

Greek government has called referendum on July 5^th, which is next Sunday for the people of the country to decide whether or not to accept the latest proposal on austerity by Euro zone creditors.

European assets are likely to have tense moments of consolidation until then since a no vote would mean further uncertain scenarios one of which might lead to a Greek exit from Euro zone.

European leaders are all having their closed door meeting today to discuss strategies on Greece.

What to focus on till the referendum?

• German Chancellor, Angela Merkel is the most prominent leaders whose words on Greece should be closely watched to understand what might be Germany's stance if a no vote is delivered.

• Greek Prime Minister Mr. Tsipras is another key figure who might point out what could be Greece's strategy if the public delivers a no verdict.

• IMF's stance becomes equally crucial since IMF is one of the largest lender in Greek bailout. IMF might withhold € 3.6 billion of the remaining € 7.2 billion, if Greece defaults tomorrow.

• ECB's comments are of high significance, since Greece is due to pay € 3.5 billion on July 20 and Greek banks are basically living on Emergency lending assistance (ELA) which was frozen at current level of $99 billion.

Euro has recovered large part of its loss. Currently trading at 1.112 against dollar.