Daily Archives: May 7, 2012

John Aglionby

Welcome to our rolling coverage of the reaction to elections in France and Greece on a big day for Europe.

By Tom Burgis, John Aglionby and Esther Bintliff in London with contributions from FT correspondents around the world. All times are London time.

This post should update automatically every few minutes, although it might take longer on mobile devices.

16.52 That’s the lot of the live blog today. See FT.com for more news and analysis through the night.

We’ll leave you with a quick summary and some reading. Today:

  • Markets reacted warily at first to the French and Greece results, although equities and bonds recovered through the day. The euro stayed weaker though
  • Angela Merkel promised François Hollande a warm welcome in Berlin but said the eurozone’s fiscal pact was not up for re-negotiation. She also urged Greece to stick to the cuts programme agreed with lenders
  • Greece’s political leaders wrangled over a possible coalition government after voters administered a thumping to the two biggest parties, leading to predictions of a fresh election and a potential move to tinker with the terms of the country’s €174bn bail-out
  • Spain reversed course and said it plans to pump public cash into troubled lender Bankia
  • Leftists from Dublin to Stockholm hailed the victory of a Socialist in France, with many seeking to use Hollande’s triumph to push for more pro-growth policies to temper European austerity

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