Greece Financial Cut Affects Wall Street

The Wall Street rebounded from Friday’s loss and rose broadly higher on Monday after Greece approved steep financial cuts in exchange for a second round of bailout money to avert a disastrous default.

The Dow Jones industrial average gained 72.81 points, or 0.57 percent, at 12,874.04. The Standard & Poor’s 500 jumped 9.13 points, or 0.68 percent, to 1,351.77.

The Nasdaq Composite Index rose 27.51 points, or 0.95 percent, to 2,931.39, once again renewing its 11-year closing record.

The gains in the market were broad-based, with only Utilities closing in negative territory among ten sectors in the S&P 500.

The market got a clear boost after the Greek parliament approved the austerity package on Sunday, clearing the way for the debt-burdened nation to get the money it desperately needed from the International Monetary Fund and the European Union to pay its debt before the due date in March.

However, investors were still cautious before finance ministers from the 17 nations using euro meet in Brussels on Wednesday to decide whether Greece’s effort is enough to get the bailout package.

Meanwhile, investors kept a close watch on China’s investment strategy. China Investment Corp. (CIC) said that it will remain cautious about investing in European government bonds, but will look for opportunities in infrastructure and real industrial projects.

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