This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

World Stocks Mixed; EU Leaders Divided on Greece Rescue Plan

PARIS -- A two-day rally driven by hopes that Europe had a plan to contain Greece's debt crisis and shore up the continent's other struggling countries ended Wednesday amid reports of divisions among leaders.

The past few weeks have seen remarkable volatility, particularly in European shares, with investors responding to every twitch from European leaders on whether Greece will get its next loan installment, whether national parliaments will agree to a stronger pan-European bailout fund and whether there's a credible plan to save Italy and Spain from needing rescue loans themselves.

The overall trend had been pessimistic until Monday, when it seemed that finally Europe's leaders were agreeing on a strong set of measures.

That new optimism culminated in Greece's passage of a property tax -- one of a host of painful debt-reduction measures it must enact in exchange for rescue loans. The country will go bankrupt unless it receives an ¿8 billion ($11 billion) rescue loan before mid-October.

But the rally ended Wednesday, with reports of heavy resistance to a proposal to ask private holders of Greek debt take on bigger losses.

Many say that even after an agreed-upon reduction, Greece's debt is just too big to ever be paid off: With weak growth, Athens simply doesn't make enough money to pay its day-to-day bills and the interest on its loans, so the debt will continue to grow. As a result, there have been calls to further slash what it owes.

A pushback against that plan renewed uncertainty about Greece's path and European markets have made little headway.

In France, the CAC-40 rose 0.2% to 3,029 while Germany's DAX rose 0.1% to 5,634. The FTSE index of leading British shares was down 0.2% at 5,284. The euro, however, held its own against the dollar, rising 0.5% to $1.3647.

The relatively small moves in markets may be a sign they're waiting to see how the upcoming events unfold. Finland is set to vote on the proposals to strengthen the eurozone bailout package on Wednesday, and Germany will do the same the next day. Yes-votes would reassure investors.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AAPL $126.37 0.00%
FB $83.20 0.00%
GOOG $552.03 0.00%
TSLA $190.57 0.00%
YHOO $44.95 0.00%

Markets

DOW 17,976.31 +263.65 1.49%
S&P 500 2,086.24 +25.22 1.22%
NASDAQ 4,947.4410 +56.2220 1.15%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs