‘Agreekment’! How India is reacting to the Greece deal

The Nifty broke away from its sideways trading band on news that the EU and Greece had come to an agreement on the latter's debt payments, preventing Athen's exit from the continental union.

The Nifty surged 88 points, or 1 percent, to 8,449. Similar percentage gains were visible on the Sensex, which soared 270 points to 27,928. The Bank Nifty surged 125 points to quote at 18,844.

Top gainers on the Nifty, whose Advance-Decline Ratio stood at 9:1, included GAIL, HCL Tech, Asian Paints and Zee Entertainment. The A-D Ratio was 1:1 in morning trade, pointing to a sharp change in the sentiment.

Greece PM Alexis Tsipras said the bailout deal was necessary to prevent a flight of assets outside the country that may have resulted in the collapse of the financial system.

German Prime Minister Angela Merkel said a debt haircut for Greece was out of the question. The parties do not need `Plan B' post this agreement, she added.

Greece will have to get the fresh terms cleared from its Parliament before they are voted upon by the EU top governing body: the EU Parliament.

(Image credit: Indiatimes)