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Euro climbs as Tsipras wins general election

Euro climbs as Tsipras wins general election

The euro started off Monday stronger after Alex Tspiras’s party secured an unexpected clear victory in the Greek general elections on Sunday.

Mr Tspiras, who struck a new €86bn bailout was losing popularity, but took a gamble on a snap election, which has proved to pay off.

After 90 per cent of the votes were counted, his Syriza party had 35.5 per cent of the vote, giving it 145 seats in the 300 member parliament. This is considerably more than the New Democracy party, which had just 75 seats.

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Mr Tspiras confirmed his plan for the Syriza party to govern its full four year term, even though his coalition with Anel, a small nationalists Independent Greek Party, does not look stable.

The euro responded positively, and was up 0.1 per cent against the dollar in late Asia trading.

However, last week’s news that the US Federal Reserve is still not raising rates, this time due to concerns over the global economies, has left other European markets depressed on Monday morning.

The FTSE Eurofirst 300 opened flat at 1,397 points, the FTSE 100 dropped 0.3 per cent, Germany’s Xetra Dax fell 0.8 per cent and the French CAC 40 also fell 0.1 per cent.