IMF Approves Greek Bailout Funds Ahead Of March 20 Deadline (YAO, EWS, EWA, EWY, EWJ)
Randall Mah: The International Monetary Fund has officially agreed to pay $36.7 billion to Greece, bringing the debt-ridden country’s second bailout total to $170 billion. The move was expected after the country’s successful debt swap last week.
Greece’s finance minister, Evangelos Venizelos, however, said the country still has a tough road ahead.
“The crisis is not over,” Venizelos said. “We have before us many difficult issues. We must get through 2012, which will be a difficult year. We must get to 2013.”
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Athens now needs to pay what remains of its debt, starting with what was once calculated to be an $18 billion installment on March 20.
Markets across Europe, however, responded positively, with most making gains during midday trading. Asian stocks were mostly mixed.
By midday, London’s FTSE had risen 0.51%, the German DAX had climbed 0.67% and the French CAC 40 had edged up 0.24%. The euro fell 0.06% to $1.3072 and the British pound appreciated 0.13% to $1.5733.
Overnight, the Shanghai Composite (NYSEARCA:YAO) climbed 1.30%. Airbus announced that China has blocked the purchase of 35 long-haul A330s, 10 A380 superjumbo jets and 10 A330 planes, putting $14 billion in aircraft sales in jeopardy as China raises the stakes over a row concerning the European Union’s airline carbon tax.
In Singapore, shares (NYSEARCA:EWS) dropped 0.50%. The city-state, however, enjoyed a 30.5% surge in non-oil exports in February over the same period last year, as electronics and pharmaceuticals enjoyed a boost. Electronics exports alone jumped 23.3% over a year earlier. Government data indicate that Singapore’s economy may grow this quarter, avoiding recession.
Australian stocks (NYSEARCA:EWA) slid 0.05%. Increased concern that China’s demand for minerals is waning pushed BHP Billiton shares down 0.60%. Rival Rio Tinto appreciated 0.29%.
Meanwhile, Korea’s KOSPI (NYSEARCA:EWY) dipped 0.46%. Japan’s Nikkei (NYSEARCA:EWJ) held onto positive territory, up 0.06%.
The Chinese yuan fell 0.09% to 6.3222 to the dollar, while the Japanese yen appreciated 0.46% to 83.88 against the greenback.
Written By Randall Mah From Emerging Money
Emerging Money provides insightful and timely information about the increasingly important world of Emerging Market investments. CNBC Emerging Markets Contributor Tim Seymour leads the team of Emerging Money to bring you cutting edge global news and analysis.
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