Wednesday, February 22, 2012

Stock markets mixed on eurozone's Greece bailout (by the BBC)



See: http://www.bbc.co.uk/news/business-17110351

Financial markets have given a mixed reaction to the announcement of a second bailout deal for Greece.

The Dow Jones in New York briefly topped the 13,000 mark for the first time since May 2008 before closing nearly flat, while markets in London, Frankfurt and Paris all fell slightly.

The euro was little changed from Monday's closing price.

Shares across Europe rose on Monday in anticipation of a deal being reached, with bank shares doing well.

Europe's banking industry has been bolstered by support from the European Central Bank.

In the latest bailout deal, Greece is to receive loans worth more than 130bn euros (£110bn; $170bn).

In return, it will undertake to reduce its debts to 120.5% of its GDP by 2020 and accept an "enhanced and permanent" presence of EU monitors to oversee economic management.

Greece needs the funds to avoid bankruptcy on 20 March, when maturing loans must be repaid.

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