Amidst the crazy news surrounding Greece, U.S. stocks are starting to rally and really show some improvement. At the moment creditors are assessing Greece’s bailout proposal and are optimistic about its results in the near future as the deal continues its progress.
Today specifically U.S. stocks rose rather sharply as you can see by the graph above. The reason for the increase was due to the brand new Greek economic proposals appearing and putting Greece closer and closer to striking a bailout deal with its creditors. The Dow Jones Industrial Average gained 202 points, or 1.2%, while the S&P 500 index rallied 23 points, or 1.1%, and the Nasdaq Composite Index climbed 57 points, or 1.2%.
The latest proposal submitted by Greece was a lot closer to the demands from the creditors and really inspired hopes that the country will soon make a deal. The plan was a total of 13 pages which detailed the economic policy changes, budget cuts, and more. It will be assessed over the weekend by the European leaders and eurozone finance ministers.
Janet Engels, who is the director of the portfolio advisory group at RBC Wealth Management was quoted in saying “The driving factor is Greece. It appears, at least on the surface, that there is significant positive momentum and that is the 13-page document that was proposed last night.” This news has been very much anticipated and will hopefully continue to grow positively. Stay tuned for more information.