11 Jun 2012

Asian markets up after Spanish bailout

9:27 pm on 11 June 2012

Stock markets in Asia have reacted positively to a decision by eurozone finance ministers to lend Spain up to €100 billion to support fragile banks.

Spain's weakest banks were left with billions of euros of bad loans following the collapse of a property boom and the subsequent recession, the BBC reports.

Japan's Nikkei closed 2% up, Hong Kong's Hang Seng was 2.4% higher, while Chinese shares gained 1.07% on Monday.

However, relief about developments in Spain may not last long, as critical details of the loans to the banks are still to be decided including where the money will come from.

The Australian 200 index was closed for the Queen's Birthday holiday.

The euro gained more than one cent against the US dollar.