European stocks depressed as Greece awaits bailout funds
City Index December 13, 2012 3:15 PM
<p>Europe’s stock markets are depressed after it was announced Greece is to receive its next bailout tranche.</p>
The major European stock benchmarks are depressed in trading this morning (December 13th) on news that Greece is due to receive its latest tranche of bailout funding, which is essential for keeping the beleaguered Mediterranean nation's economy from sinking into the fiscal abyss.
After weeks of talks between eurozone ministers and the International Monetary Fund, it was agreed in November that the country would be given €44 billion (£37 billion) after it passed a series of harsh austerity measures to prove it is taking ownership of its monetary situation.
Furthermore, ministers conceded in agreeing to cut the nation's debts by €40 billion.
Prime minister Antonis Samaras had warned in October that Greece's coffers would run completely dry in November without the next tranche of funding.
The country had been waiting since June for the cash injection that is necessary for the government to pay its debts, support its banks and keep it from a disastrous default that could forfeit its place within the eurozone.
At 09:40 GMT, the pan-European DJ Eurostoxx 50 was flat at an index value of 2629.1 points.
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