Euro’s gains owing to Greece payments but still under stress

Today Euro jumps higher against the dollar after a loan installment recovery by IMF from Greece outstanding but concerns over the country's future in the euro area persisted. EUR/USD was up 0.30% to 1.1189, off overnight lows of 1.1130.

Greece repaid a €770 million loan installment to the IMF early Tuesday, easing concerns that it was on the verge of default. Athens is scrambling to reach an agreement with its international creditors on a package of economic reforms in order to access fresh bailout funds and avert a liquidity crunch.

Greece's government has indicated that it is still hopeful that progress will be made but euro zone officials have indicated that too many issues still remain unresolved.

As a result the Euro was also jumping higher against the yen and the pound, with EUR/JPY up 0.35% to 134.41 and EUR/GBP adding 0.39% to trade at 0.7184.