On Friday, Greece and its European creditors agreed to a four-month extension of the country's rescue package. The deal hinges on the European Central Bank and European Commission accepting Greece's proposed reform measures.
Greece is a country that has been struggling mightily. Effects of their shrinking economy and a 25% unemployment rate have strained its financial footing. Many investors fear that if this deal collapses it would push Greece closer to exiting the euro--something both the European Union and Greece have said they want to avoid.
This 4-month reprieve (pending approval this week) is seemingly kicking the can down the road. However, Wall Street responded favorably to the news--the Dow Jones Industrial Average closed Friday at a new all-time high. Despite this positive response, it will take time and stressful negotiations before Greece and its finances find stable footing.
Ethan Wade, Financial Advisor
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