Good morning,
Markets stabilized globally as everyone braces for Greece to default on its $1.8 billion loan to the IMF, due Tuesday. Shanghai stock prices swung wildly, dropping 5.1% before recovering 5.6%. The mainland government is going all out to support the market, and is drafting rules to allow pension funds to invest up to 30% of funds in the stock market. In Europe, hope barely springs eternal that the EU will come up with a deal to keep Greece in the fold; the emergency support program expires at midnight. … Also on today’s calendar: S&P Case Shiller Housing Price Index at 9 a.m. ET; consumer confidence at 10 a.m. ET.
Greece totters on the edge of the abyss; U.S. futures looking up. Greek Prime Minister Alexis Tsipras insists that the EU won’t boot his country out of the Eurozone. “The cost is immense,” Tsipras said in a TV interview. Meanwhile, European Central Bank Executive Board member Benoit Coeure said there’s hope for saving group of the referendum endorses the creditor plan. Bloomberg
Chinese trade group urges traders to look for rainbow at end of storm: “Beautiful sunlight always comes after wind and rain,” the Asset Management Association of China wrote to its members. “As we pursue personal profit, we should also pay attention to others’ profits and not abandon our integrity as we grab for riches, not kill the goose that lay the golden egg.” Financial Times (paywall)
U.S.-Iran talks likely to blow through deadline. Officially, talks to limit Iran’s nuclear program were slated to conclude Tuesday, but both sides don’t see that happening. Iran’s chief negotiator, Mohammad Javad Zarif, returned to the negotiating table after a trip to Tehran, where he will continue talks with Secretary of State John Kerry. There are still hopes that a pact will be submitted to the U.S. Congress on July 9. New York Times (paywall)
Boeing faces tough times as U.S. Export-Import Bank set to stop extending new loans and financing to foreign firms and countries. The charter of Ex-Im will expire Tuesday and that will put at risk financing for Boeing Co.’s 747 jumbo jets. Bloomberg/The Daily Signal
Obama administration unveils new overtime pay rule. Employees who earn up to $970 a week would have to be paid overtime if they are classified as managers or professionals. At present, workers earning as little as $455 a week are not entitled to overtime pay because they are classified as managers. Bloomberg
Apple launches its streaming music service….WalMart apologizes for making cake with ISIS flag after rejecting a request to make one with a confederate flag (Mediate, h/t Quartz)… New Jersey Governor Chris Christie is slated to throw his hat into the ring, joining a crowded Republican race for the presidential election… Mexican billionaire Carlos Slim ends TV deal with Donald Trump over racist remarks…. Willis Group, Towers Watson to merge in $8.2 billion deal.
Photo by Christina Kekka via Flickr.