Asian stocks down on Greek bailout debacle

Markets declined after inconclusive eurogroup meeting failed to reach agreement on new Greek bailout

Asian stocks down on Greek bailout debacle

World Bulletin / News Desk 

Asian stocks fell on Wednesday and the euro declined against the dollar after an inconclusive eurogroup meeting in Brussels on Tuesday saw no further progress towards a solution for Greece.

Japan's Nikkei dropped 2.2 percent, the Hong Kong Hang Seng Index lost 4.2 percent, the Shanghai Composite Index fell 3.9 percent and the Seoul Kospi was off 1.08 percent. U.S. stocks finished slightly higher, after a high-volume selloff in the morning.

The euro slipped to about 1.09 against the dollar after the eurogroup meeting, then bounced back to 1.11 in early morning trading, only to slip back to the 1.09 level on Wednesday morning.

Greek Prime Minister Alexis Tsipras is to address the European Parliament on Wednesday. He is expected to submit a request for a short-term bridge funding package, and a new two-year rescue package. Creditors will consider these at another eurogroup meeting on Wednesday.

German Chancellor Angela Merkel has already said that no bridge funding rescue would be possible.

On Tuesday, the Eurogroup heard a presentation from new Greek Finance Minister Euclid Tsakalotos, who had no written brief prepared for the meeting.

The reaction from eurogroup finance ministers was largely that they needed to know more before making a decision.

Eurogroup head Jeroen Dijsselbloem warned after the meeting that little time was left, and that much more needed to be done.

 

Güncelleme Tarihi: 08 Temmuz 2015, 09:40
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