As things quieten down in Greece we turn our attention back to the UK with expectations that the June borrowing figure will show a big drop on 2014 9.26am BST European shares have edged lower in quiet trading this morning as the momentum from Monday’s relief rally peters out.The FTSE 100 in the UK, Germany’s Dax is flat and France’s CAC40 are all down between 0.1 and 0.2%.“Now that the Greek problem has been kicked into the long grass, the key question for investors is whether the recent gains in European equity markets are simply a relief rally - or whether fears over Greece obscured a wider improvement in European economies and there is still significant value to be found?On top of the effects of the ECB’s quantitative easing (QE), the Greek crisis has left the euro considerably weaker than it otherwise would have been. Greek fears also depressed company valuations. Nevertheless, European exporters should benefit significantly from the weak euro, while the financial sector should benefit from the effects of QE. As a consumer of energy and raw materials, Europe should also benefit significantly from the recent drop in commodity prices. 9.12am BST The big corporate news of the day is that Toshiba’s chief executive and president, Hisao Tanaka, and his predecessor, Norio Sasaki, have quit over a $1.2bn accounting scandal. Related: Toshiba boss quits over £780m accounting scandal Continue reading...
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