European shares are called to open higher Tuesday following the final approval for Greece’s 130 billion euros ($172 billion) bailout.
The FTSE 100 is seen higher by 23 points, the DAX higher by 47 points and the CAC 40 by 17 points.
EU finance ministers meeting at the Economic and Financial Affairs Council (ECOFIN) on Monday confirmed that Greece’s bailout had been approved. The meeting continues Tuesday, where attention has shifted to Spain. Jean Claude Junker, the chair of the Eurogroup of euro zone finance ministers said it was of “utmost importance” that Spain cuts its deficit to under 3 percent of GDP.
Over the weekend, Greece finalized its debt swap—part of its bailout deal—that should take around 100 billion euros off its debt pile.
The Financial Times is reporting that HSBC has decided to close or sell seven of its Asian retail businesses. The move follows its closure and sale of retail banking operations in Japan and Thailand as the bank shifts its focus onto fewer Asian markets.
No major surprises are expected at the U.S. Federal Open Market Committee meeting Tuesday, where the Fed is widely predicted to maintain the stance it outlined at its last meeting in January and keep interest rates at their record low of between 0 to 0.25 percent. Recent months of positive jobs growth are likely to have reduced the chances of further monetary stimulus being announced at today’s meeting.
Bond auctions in Europe will see, among others, the Netherlands tendering between 2.5 billion and 3.5 billion euros of 3-year bonds at 9:00 a.m. GMT and Italy, which tenders 3.5 billion euros in 3-month T-bills and 8.5 billion euros in 12-month T bills at 10:00 a.m. GMT.
In earnings news, companies including Prudential , the UK insurer, and Antofagasta , the copper producer are expected to report later today.