The European Union will have a final bailout for Greece “by the end of June and have ruled out a “total restructuring” of the nation’s debt” according to Jean-Claude Juncker, head of the group of euro-area finance ministers.
Stocks rose around the world. The Stoxx Europe 600 Index climbed 1%, while the MSCI World Index advanced 0.8 %. The Euro strengthened to a three-week high against the dollar, and the cost of insuring bank debt fell the most in six weeks. U.S. index futures rallied 1%, and commodities also gained. The 10-year German bund yield climbed seven basis points, while Greek yields slid 30 basis points.
US equities are poised for a 4th consecutive day of gains, trimming some of the losses in May — the worst month for US stocks since August 2010, prior to the announcement of QE2.