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You can find the current article at its original source at https://www.theguardian.com/business/live/2017/jun/16/greece-averts-fresh-crisis-eurozone-emergency-bailout-business-live
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| Relief for investors as Greece averts fresh crisis - business live | Relief for investors as Greece averts fresh crisis - business live |
| (35 minutes later) | |
| 11.24am BST | |
| 11:24 | |
| The pound is roughly flat against the dollar, after receiving a boost on Thursday from the shock news that three Bank of England policymakers voted to raise interest rates at their June meeting. | |
| They were outvoted 5-3 but it signalled a deeper-than-expected split among the Monetary Policy Committee and edged the Bank closer to a rate hike. | |
| Sterling is up 0.1% at $1.2765, but down 0.1% against the euro at €1.1423. | |
| David Madden, market analyst at CMC Markets: | |
| The GBP/USD has been trading within a tight range, the pound hasn’t made any more gains versus the US dollar in the wake of the surprisingly hawkish BoE vote yesterday, but neither has it given up much ground. | |
| 11.03am BST | |
| 11:03 | |
| Hammond: UK must focus on jobs in Brexit talks | |
| Philip Hammond has been speaking to reporters in Luxembourg, where finance ministers are gathered for today’s Ecofin meeting. | |
| He said Britain must prioritise jobs and future prosperity when Brexit negotiations kick-off next week. | |
| As we enter negotiations next week we will do so in a spirit of sincere co-operation taking a pragmatic approach to trying to find a solution that works both for the UK and for the European Union 27. | |
| My clear view, and I believe the view of the majority of people in Britain, is that we should prioritise protecting jobs, protecting economic growth, protecting prosperity as we enter those negotiations and take them forward. | |
| Updated | |
| at 11.04am BST | |
| 10.39am BST | 10.39am BST |
| 10:39 | 10:39 |
| The poll below suggests other EU countries have no appetite to follow the UK out of the union: | The poll below suggests other EU countries have no appetite to follow the UK out of the union: |
| After #Brexit, no desire amongst Europeans to follow Britain out the door. pic.twitter.com/NZ2NCHbgUT | After #Brexit, no desire amongst Europeans to follow Britain out the door. pic.twitter.com/NZ2NCHbgUT |
| 10.35am BST | 10.35am BST |
| 10:35 | 10:35 |
| Former finance minister Yanis Varoufakis is not the only one sceptical about the Greek deal struck in Luxembourg last night. | Former finance minister Yanis Varoufakis is not the only one sceptical about the Greek deal struck in Luxembourg last night. |
| Kit Juckes at Societe Generale also suggests it was an elaborate exercise in kicking the can down the road: | Kit Juckes at Societe Generale also suggests it was an elaborate exercise in kicking the can down the road: |
| The politics of debt relief are too toxic to cope with so [Eurogroup president] Jeroen Dijsselbloem called for the tee, put the debt can on top of it, lined it up and kicked it straight between the posts and down the road behind. Then he declared it a ‘major step forward’ that would help put the Greek economy on a sounder footing. Job done. | The politics of debt relief are too toxic to cope with so [Eurogroup president] Jeroen Dijsselbloem called for the tee, put the debt can on top of it, lined it up and kicked it straight between the posts and down the road behind. Then he declared it a ‘major step forward’ that would help put the Greek economy on a sounder footing. Job done. |
| I expect this to be greeted with muted applause by European bond investors, by which I mean peripheral debt should do fine and the currency won’t care. | I expect this to be greeted with muted applause by European bond investors, by which I mean peripheral debt should do fine and the currency won’t care. |
| 10.23am BST | 10.23am BST |
| 10:23 | 10:23 |
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| 10.09am BST | 10.09am BST |
| 10:09 | 10:09 |
| Eurozone inflation slows to 1.4% in May | Eurozone inflation slows to 1.4% in May |
| The eurozone’s headline rate of inflation in May has been confirmed at 1.4% by statistics office Eurostat, down from 1.9% in April. | The eurozone’s headline rate of inflation in May has been confirmed at 1.4% by statistics office Eurostat, down from 1.9% in April. |
| Petrol prices and hotel stays were more expensive than a year earlier, while phone costs and clothing prices fell. | Petrol prices and hotel stays were more expensive than a year earlier, while phone costs and clothing prices fell. |
| At 1.4%, eurozone is well below UK inflation of 2.9%. The sharp fall in the value of the pound since the Brexit vote has pushed up the cost of goods imported from abroad and is feeding through to higher shop prices. | At 1.4%, eurozone is well below UK inflation of 2.9%. The sharp fall in the value of the pound since the Brexit vote has pushed up the cost of goods imported from abroad and is feeding through to higher shop prices. |
| Updated | Updated |
| at 10.12am BST | at 10.12am BST |
| 9.58am BST | 9.58am BST |
| 09:58 | 09:58 |
| Greece has long hoped that a deal with creditors will pave the way to inclusion in the European Central Bank’s stimulus programme, in turn enabling a return the capital markets. | Greece has long hoped that a deal with creditors will pave the way to inclusion in the European Central Bank’s stimulus programme, in turn enabling a return the capital markets. |
| However, Athens will probably have to wait a while longer: | However, Athens will probably have to wait a while longer: |
| #ECB needs 'more clarity' on debt relief to buy Greek bonds https://t.co/VqlNhrYNJW | #ECB needs 'more clarity' on debt relief to buy Greek bonds https://t.co/VqlNhrYNJW |
| 9.46am BST | 9.46am BST |
| 09:46 | 09:46 |
| Helena Smith | Helena Smith |
| A spokesman for the Greek government has commented this morning on the deal struck between Athens and its eurozone lenders. | A spokesman for the Greek government has commented this morning on the deal struck between Athens and its eurozone lenders. |
| “Yesterday’s Eurogroup decision is a very positive decision which gives the Greek side what it wanted and the possibility to proceed with security until it completes the programme,” Dimitiris Tzanakopoulos told the radio station Real FM. | “Yesterday’s Eurogroup decision is a very positive decision which gives the Greek side what it wanted and the possibility to proceed with security until it completes the programme,” Dimitiris Tzanakopoulos told the radio station Real FM. |
| The agreement had laid out clear commitments regarding the country’s staggering debt pile and clear commitments regarding its growth, he said, commitments that would put it on the path to successfully exiting its third bailout programme in August 2018. | The agreement had laid out clear commitments regarding the country’s staggering debt pile and clear commitments regarding its growth, he said, commitments that would put it on the path to successfully exiting its third bailout programme in August 2018. |
| “We have before us a clear two-year period, in which we can change the image of Greece … We have a concrete goal. This goal is to complete the programme, for Greece to stand on its own feet,” he continued, adding that the government’s overriding aim was to free the country from the “harsh oversight” of international lenders keeping it afloat. | “We have before us a clear two-year period, in which we can change the image of Greece … We have a concrete goal. This goal is to complete the programme, for Greece to stand on its own feet,” he continued, adding that the government’s overriding aim was to free the country from the “harsh oversight” of international lenders keeping it afloat. |
| Despite the air of triumphalism in Athens this morning, prime minister Alexis Tsipras leftist-led coalition has come under heavy fire for wasting precious time haggling with creditors to get to this point. In the uncertainty wrought by nine months of stalled negotiations, the real economy has suffered tremendously as investors have stayed away. | Despite the air of triumphalism in Athens this morning, prime minister Alexis Tsipras leftist-led coalition has come under heavy fire for wasting precious time haggling with creditors to get to this point. In the uncertainty wrought by nine months of stalled negotiations, the real economy has suffered tremendously as investors have stayed away. |
| 9.32am BST | 9.32am BST |
| 09:32 | 09:32 |
| Varoufakis gives damning critique of Greek deal | Varoufakis gives damning critique of Greek deal |
| Varoufakis has also updated his blog with an annotated version of last night’s Eurogroup statement on Greece. | Varoufakis has also updated his blog with an annotated version of last night’s Eurogroup statement on Greece. |
| Sceptical could probably sum up his view. | Sceptical could probably sum up his view. |
| For example, his response to the Eurogroup’s statement that an end to the bailout programme in 2018 could pave the way for a Greek return to the capital markets, he writes: | For example, his response to the Eurogroup’s statement that an end to the bailout programme in 2018 could pave the way for a Greek return to the capital markets, he writes: |
| A little like promising pigs that they will be offered flying lessons! | A little like promising pigs that they will be offered flying lessons! |
| On Greece’s commitment to maintain a primary surplus of 3.5% until 2022, and about 2% from 2023 to 2060, he notes: | On Greece’s commitment to maintain a primary surplus of 3.5% until 2022, and about 2% from 2023 to 2060, he notes: |
| Put a little more clearly: the Eurogroup remains committed to an insane level of austerity (for this is what 3.5% of GDP means) until 2022. | Put a little more clearly: the Eurogroup remains committed to an insane level of austerity (for this is what 3.5% of GDP means) until 2022. |
| After those further four years of mind and soul numbing recession, for those Greeks that remain in the country (and who have not migrated as a result of the utter misery the Eurogroup has spread all over the land), the austerity will be a little lessened until… 2060. (We are really experiencing levels of cynicism that have never been observed in Europe, or indeed anywhere else, before!) | After those further four years of mind and soul numbing recession, for those Greeks that remain in the country (and who have not migrated as a result of the utter misery the Eurogroup has spread all over the land), the austerity will be a little lessened until… 2060. (We are really experiencing levels of cynicism that have never been observed in Europe, or indeed anywhere else, before!) |
| The Annotated 15th June 2017 Eurogroup statement on Greece https://t.co/1xNT3RjmRn | The Annotated 15th June 2017 Eurogroup statement on Greece https://t.co/1xNT3RjmRn |
| 9.09am BST | 9.09am BST |
| 09:09 | 09:09 |
| Yanis Varoufakis, Greece’s former finance minister, has given his reaction to the news that Athens has secured another €8.5bn in emergency funds. | Yanis Varoufakis, Greece’s former finance minister, has given his reaction to the news that Athens has secured another €8.5bn in emergency funds. |
| Yesterday's Eurogroup statement reminded me of how nothing has changed, or will change, until Athens learns to say NO (and mean it) pic.twitter.com/YRfgAUAp9Y | Yesterday's Eurogroup statement reminded me of how nothing has changed, or will change, until Athens learns to say NO (and mean it) pic.twitter.com/YRfgAUAp9Y |
| 8.53am BST | 8.53am BST |
| 08:53 | 08:53 |
| Greek stock market highest in two years | Greek stock market highest in two years |
| Greece’s ATG index has opened up 1.2% at the highest level since mid-June 2015. | Greece’s ATG index has opened up 1.2% at the highest level since mid-June 2015. |
| Meanwhile the yield on Greece’s 10-year government bonds has fallen to 5.78% - the lowest level in almost a month - in another sign that investors are breathing a huge sigh of relief at the long-awaited and much-needed bailout deal. | Meanwhile the yield on Greece’s 10-year government bonds has fallen to 5.78% - the lowest level in almost a month - in another sign that investors are breathing a huge sigh of relief at the long-awaited and much-needed bailout deal. |
| Finally good news for Greece. It was well deserved. | Finally good news for Greece. It was well deserved. |
| Here is how events unfolded last night. | Here is how events unfolded last night. |
| 8.38am BST | 8.38am BST |
| 08:38 | 08:38 |
| European markets rise in early trading | European markets rise in early trading |
| Investors have a spring in their step this morning, boosted by the news that Greece clinched a bailout deal last night, averting a fresh crisis. | Investors have a spring in their step this morning, boosted by the news that Greece clinched a bailout deal last night, averting a fresh crisis. |
| Here are the scores so far in Europe’s main markets: | Here are the scores so far in Europe’s main markets: |
| FTSE 100: + at 0.3% at 7,445 | FTSE 100: + at 0.3% at 7,445 |
| Germany’s DAX: +0.4% at 12,739 | Germany’s DAX: +0.4% at 12,739 |
| France’s CAC: +0.8% at 5,259 | France’s CAC: +0.8% at 5,259 |
| Italy’s FTSE MIB: +0.5% at 20,959 | Italy’s FTSE MIB: +0.5% at 20,959 |
| Spain’s IBEX: +0.2% at 10,722 | Spain’s IBEX: +0.2% at 10,722 |
| Europe’s STOXX 600: +0.5% at 388 | Europe’s STOXX 600: +0.5% at 388 |
| The FTSE 250 - which includes companies focused more on the UK market than those in the FTSE 100 - is up 0.7% at 19,698 after the index suffered its biggest daily fall since last summer on Thursday. | The FTSE 250 - which includes companies focused more on the UK market than those in the FTSE 100 - is up 0.7% at 19,698 after the index suffered its biggest daily fall since last summer on Thursday. |
| 8.24am BST | 8.24am BST |
| 08:24 | 08:24 |
| Tesco reports strong sales as it protects customers from full impact of inflation | Tesco reports strong sales as it protects customers from full impact of inflation |
| Britain’s biggest supermarket chain says it has protected customers from the full impact of inflation. | Britain’s biggest supermarket chain says it has protected customers from the full impact of inflation. |
| Inflation is currently running at 2.9%, but Tesco has raised its food prices by just 1.4%. The sharp drop in the value of the pound since the Brexit vote a year ago has driven up the cost of goods and raw materials imported from abroad. | Inflation is currently running at 2.9%, but Tesco has raised its food prices by just 1.4%. The sharp drop in the value of the pound since the Brexit vote a year ago has driven up the cost of goods and raw materials imported from abroad. |
| Consumers are increasingly feeling the pinch as inflation is higher than wage growth, currently running at 1.7% according to the latest official stats. | Consumers are increasingly feeling the pinch as inflation is higher than wage growth, currently running at 1.7% according to the latest official stats. |
| Tesco said that its decision to limit price rises was helping to drive sales, which rose 2.3% in the UK on a like-for-like basis in the first quarter, comfortably beating analysts’ expectations for a 1.9% rise. It was Tesco’s best quarterly UK growth for seven years. | Tesco said that its decision to limit price rises was helping to drive sales, which rose 2.3% in the UK on a like-for-like basis in the first quarter, comfortably beating analysts’ expectations for a 1.9% rise. It was Tesco’s best quarterly UK growth for seven years. |
| Here is what Dave Lewis, Tesco’s chief executive, had to say: | Here is what Dave Lewis, Tesco’s chief executive, had to say: |
| In tough market conditions, we have stayed true to our commitment to helping customers - working closely with our supplier partners to keep prices low. | In tough market conditions, we have stayed true to our commitment to helping customers - working closely with our supplier partners to keep prices low. |
| Customers have responded by doing more of their shopping with us and as a result we continue to grow volumes, particularly in fresh food. | Customers have responded by doing more of their shopping with us and as a result we continue to grow volumes, particularly in fresh food. |
| This is a good start to the year, with our sixth consecutive quarter of positive like-for-like sales growth across the group. We are confident in our plans to create long-term, sustainable value for our key stakeholders and to deliver on the ambitions we have set out. | This is a good start to the year, with our sixth consecutive quarter of positive like-for-like sales growth across the group. We are confident in our plans to create long-term, sustainable value for our key stakeholders and to deliver on the ambitions we have set out. |
| Tesco’s annual meeting will be held at 2pm today at London’s Excel centre. | Tesco’s annual meeting will be held at 2pm today at London’s Excel centre. |
| Updated | Updated |
| at 8.25am BST | at 8.25am BST |
| 8.00am BST | 8.00am BST |
| 08:00 | 08:00 |
| Google faces €1bn fine from EU, FT says | Google faces €1bn fine from EU, FT says |
| The FT is reporting that Google could be fined more than €1bn as Brussels prepares to announce the first of its trio of antitrust decisions involving the global search engine giant. | The FT is reporting that Google could be fined more than €1bn as Brussels prepares to announce the first of its trio of antitrust decisions involving the global search engine giant. |
| EU officials are expected to say in the coming weeks that Google exploited its dominant market position to promote its other services - such as shopping and travel – in a way that was detrimental to the its rivals, the FT said. Google and the European Commission declined to comment. | EU officials are expected to say in the coming weeks that Google exploited its dominant market position to promote its other services - such as shopping and travel – in a way that was detrimental to the its rivals, the FT said. Google and the European Commission declined to comment. |
| Watch this space. | Watch this space. |
| 7.48am BST | 7.48am BST |
| 07:48 | 07:48 |
| Traders at spread-betting firm IG are expecting Europe’s main markets to open higher this morning: | Traders at spread-betting firm IG are expecting Europe’s main markets to open higher this morning: |
| Our European opening calls:$FTSE 7433 +0.19%$DAX 12718 +0.21%$CAC 5229 +0.23%$IBEX 10720 +0.19%$MIB 20941 +0.45% | Our European opening calls:$FTSE 7433 +0.19%$DAX 12718 +0.21%$CAC 5229 +0.23%$IBEX 10720 +0.19%$MIB 20941 +0.45% |
| 7.44am BST | 7.44am BST |
| 07:44 | 07:44 |
| The agenda: Greece averts fresh crisis; eurozone inflation | The agenda: Greece averts fresh crisis; eurozone inflation |
| Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business. | Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business. |
| Investors will be relieved this morning as Greece finally managed to agree a deal with its eurozone creditors last night to unlock €8.5bn of urgently needed bailout funds. | Investors will be relieved this morning as Greece finally managed to agree a deal with its eurozone creditors last night to unlock €8.5bn of urgently needed bailout funds. |
| The deal was clinched at the Eurogroup meeting of finance minsters, which is followed today by Ecofin, attended by ministers from the wider EU. | The deal was clinched at the Eurogroup meeting of finance minsters, which is followed today by Ecofin, attended by ministers from the wider EU. |
| We will bring reaction to the Greek deal and any developments a Ecofin. | We will bring reaction to the Greek deal and any developments a Ecofin. |
| Here is our full story on Greece: | Here is our full story on Greece: |
| The economic data calendar is fairly thin, but with a couple of highlights: | The economic data calendar is fairly thin, but with a couple of highlights: |
| At 10am we get final eurozone inflation figures for May. Economists are expecting a headline annual rate of 1.4%. | At 10am we get final eurozone inflation figures for May. Economists are expecting a headline annual rate of 1.4%. |
| At 13.30 we get the latest snapshot of the US property market with housing starts figures for May. | At 13.30 we get the latest snapshot of the US property market with housing starts figures for May. |
| Updated | Updated |
| at 7.45am BST | at 7.45am BST |