Greek bailout deal agreed 'in principle'

Greece has agreed a bailout deal "in principle" with its creditors, the European Commission has confirmed this afternoon.

The Commission said a technical agreement had been reached with Greece, which now requires political approval. The Greek government is hoping to push a new €86bn (£60bn) three-year agreement through parliament later this week.

The country needs a deal by 20 August, when it has a debt repayment of about €3bn to make to the European Central Bank. The news should help boost sentiment in Europe, although the mood has soured over weakness seen in the Asian session.