Euro makes gains as Greece is awarded extension

<p>The euro has made gains in forex trading as Greece announces its bailout extension.</p>

The euro has made gains in forex trading this morning following news the Greek government has been granted an extension for implementing the austerity measures necessary for it to receive its bailout funding.

Prime minister Antonis Samaras has been campaigning for the deadline to be pushed back by two years since before the two elections earlier this year, which he believes are grounds for allowing the troubled Mediterranean nation more time.

Athens is tasked with making significant savings requiring spending cuts, wage freezes and structural reforms in order for it to be given its next tranche of money from the so-called troika of lenders, the International Monetary Fund, the European Union and the European Central Bank.

Greece's finance minister Yiannis Stournaras said the country has been given more time, but did not disclose how much.

At 10:30 BST this morning (October 25th), the euro was higher in trading with the dollar by 0.2 per cent to €1 buying $1.300, while it retreated by 0.2 per cent against the pound to €1 equalling £0.807.

Find out about the euro and forex trading at City Index.

Join our live webinars for the latest analysis and trading ideas. Register now

GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.