LONDON — Europe’s markets bounced in mid-morning trading Friday after Greek Prime Minister Alexis Tsipras unveiled a lineup of pension cuts and tax hikes aimed at preserving Greece’s place in the euro zone and securing a third bailout from the country’s creditors.

The CAC 40 in Paris led the upswing, climbing 2.7 percent to 4,883.84, followed by the DAX in Frankfurt, 2 percent to 11,216.27, and the FTSE MIB in Milan, 1.9 percent to 22,679.52. The FTSE 100 in London was up 1 percent to 6,649.53.

The euro traded at $1.11, while the pound fetched $1.54, and the Swiss franc equaled $1.06 at 10:15 a.m. CET.

All major retail and luxury stocks made gains, with the morning’s biggest climbers including Inditex, 5.1 percent to 29.28 euros; Metro, 2.7 percent to 28.65 euros; Tod’s, 3.2 percent to 81.60 euros; Unilever, 2.5 percent to 39.14 euros, and LVMH Moët Hennessy Louis Vuitton, 2.2 percent to 156.70 euros.

According to the BBC, the new debt reform package contains similar proposals to those tabled by Greece’s creditors — which were rejected by Greek voters in a referendum last Sunday.

Citing Greek media reports, the BBC said they include a tax rise on shipping companies, setting VAT at a standard 23 percent, 300 million euros in defense spending cuts by next year, privatization of ports and canceling the 30 percent tax break for the country’s wealthiest islands.

Click Here for the WWD Global Stock Tracker >>

load comments
blog comments powered by Disqus