Topic > Greek debt crisis: The Greek debt crisis - 1304

Greece was only able to meet its payments through aid from eurozone countries. Most of the money from this aid will only be used to repay existing debts and not in the process of rebuilding Greece's destroyed economy. This new aid gives investors a sense of comfort knowing that Greece will not leave the eurozone. . (Greek Debt Crisis Explained, 2015). The rising possibility of an end to the Greek economy has given a boost to stocks from Europe to the United States. this in turn brought the value of the euro to a seven-week low. Ron Anari of Jersey City believes that the agreement reached in Greece has a positive effect on the stock markets. (Jeremy Herron, 2015). The crisis is also believed to have made stocks in European countries buy better. However, there are reasons for American investors to be cautious because the increase in the value of European stocks has not occurred as quickly as the decrease in the value of the euro against the dollar.