Markets rally amid optimism for a Greek debt swap deal

Greece’s private creditors have until 8 p.m. GMT (3 p.m. EST) today to take a debt swapping deal that will allow the country to write off $130 billion dollars in debt. Markets across Europe and Asia rallied amid optimism that Greece will successfully secure the deal and avoid default.

By morning trading, London’s FTSE (EWU, quote) had risen 1.30%, the German DAX (EWG, quote) had edged up 2.09% and the French CAC 40 (EWQ, quote) had appreciated 2.03%.

The euro rose 0.62% to $1.3227 and the British pound appreciated 0.30% to $1.5788.

Overnight, the Nikkei (EWJquote) jumped 2.01%.

Toyota (TM, quote) is recalling 681,500 vehicles for silicon grease leaks that may cause starting problems and defective steering wheels that may deactivate the driver’s airbag. After besting GM as the world’s No. 1 automaker, Toyota recently fell behind GM and Volkswagen to the No. 3 spot. Shares of Toyota rose 2.62%, while Honda stock appreciated 2.02%.

Meanwhile, Seoul’s KOSPI (EWYquote) got a bump of 0.94%. Samsung has filed a lawsuit against Apple in South Korea alleging the iPhone 4S and iPad 2 infringe on three of Samsung’s patents. Over the past year, the rivals have extended their legal battles to 10 countries as they seek dominance in the in the mobile device market. Shares of Samsung climbed 0.68%, while LG stock rallied 3.89%.

Australian stocks (EWAquote) moved up 0.66%. Last month, Australia lost 15,400 jobs, pushing the unemployment rate up to 5.2% and nudging the Australian dollar down to $1.0657 to the greenback.

In Singapore, shares (EWS, quote) were up 1.96%. The Shanghai Composite (YAOquote) rose 1.06%.

The Chinese yuan climbed 0.09% to 6.3154 to the dollar, while the Japanese yen appreciated 0.56% to 81.53 against the greenback.

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