Stock indices closed mixed on news that the Eurogroup approved the third Greek bailout programme on Friday. The programme totals €86 billion. The Greece could get €26 billion in the first tranche from the third bailout programme. €13 billion will be used to cover the debt repayment and an additional €10 billion will be used to bolster capitalisation levels of Greek banks. The Greek government will get €3 billion for the implementation of fiscal and structural reforms.

German Chancellor Angela Merkel said in an interview on ZDF television Sunday that she is confident that the International Monetary Fund (IMF) will take part in a new bailout for Greece. Merkel noted that the Greek burden could be eased by extending the maturities on its debt and reducing interest rates.

Meanwhile, the economic data from the Eurozone was positive. Eurozone's unadjusted trade surplus jumped to €26.4 billion in June from €18.8 billion in May.

Exports rose at an annual rate of 12.0% in June, while imports increased at 7.0%.

The German Bundesbank released its monthly economic report on Monday. The central bank said that Germany's economy is expected to expand in the second half of the year, supported by rising consumption and growing exports.

The country's economy is expected to benefit from real income rises, the Eurozone's recovery, a weaker euro and foreign demand, according to the report.

The Bundesbank pointed out that Greek economy will gradually recover, supported by the bailout programme, tourism income and investments.

Germany's central bank expressed concerns over the economic growth in China.

Indexes on the close:

Name Price Change Change %

FTSE 100 6,550.3 -0.44 -0.01 %

DAX 10,940.33 -44.81 -0.41 %

CAC 40 6,550.3 -0.44 -0.01 %

Polish equities continued to slide on Monday with the broad marker measure, the WIG Index, dropping a further 0.94%. Sector-wise, oil and gas sector (+0.87%) was sole gainer within the WIG Index, while chemicals (-2.99%) and utilities (-2.86%) lagged behind.

Large-cap stocks slipped by 1.06% as measured by the WIG30 Index. Most index constituents posted declines, led by TAURON PE (WSE: TPE), which fell by 4.80%, and followed by GRUPA AZOTY (WSE: ATT), PGE (WSE: PGE), SYNTHOS (WSE: SNS) and MBANK (WSE: MBK), which dropped by 3.18%-4.64%. On the other side of the ledger, CCC (WSE: CCC) and PKN ORLEN (WSE: PKN) were the top performers, gaining 1.99% and 1.83% respectively.

Major U.S. stock-indexes slightly rose on Monday although data showed a surprise fall in manufacturing activity in the state of New York in August. The market was also weighed down by oil prices, which fell toward six-year lows as data showed Japan's economy, the world's third-biggest oil consumer, contracted in the second quarter. The New York Fed's Empire State general business conditions index tumbled from 3.86 in July to -14.92 in August due to steep drops in new orders and shipments. Economists polled by Reuters had expected the index to rise to 5 this month. A reading above zero indicates expansion.

Most of Dow stocks in positive area (21 of 30). Top looser - Chevron Corporation (CVX, -2.58%). Top gainer - The Walt Disney Company (DIS, +1.42).

S&P index sectors mixed. Top looser - Conglomerates (-0.8%). Top gainer - Healthcare (+0,5%).

At the moment:

Dow 17466.00 +27.00 +0.15%

S&P 500 2091.75 +2.25 +0.11%

Nasdaq 100 4543.75 +12.00 +0.26%

10 Year yield 2,16% -0,04

Oil 42.56 +0.06 +0.14%

Gold 1118.20 +5.50 +0.49%

The European Central Bank (ECB) purchased €10.2 billion of government bonds under its quantitative-easing program last week.

ECB'S asset buying programme is intended to run to September 2016.

The ECB bought €1.41 billion of covered bonds, and €332 million of asset-backed securities.

The National Association of Home Builders (NAHB) released its housing market index for the U.S. on Monday. The NAHB housing market index rose to 61 in August from 60 in July, in line with expectations. It was the highest level since November 2005.

A level above 50.0 is considered positive, below indicates a negative outlook.

The increase was driven by a rise in two of three components of the index. The buyer traffic subindex rose two points to 45 in August, the current sales conditions subindex climbed one point to 66, while the subindex measuring sales expectations in the next six months remained unchanged at 70.

"We continue to hear that builders face difficulties accessing land and labour," the NAHB Chairman Tom Woods said.

The NAHB Chief Economist David Crowe noted that there is "a gradual strengthening of the single-family housing sector in 2015".

"Job and economic gains should keep the market moving forward at a modest pace throughout the rest of the year," he said.

German Chancellor Angela Merkel said in an interview on ZDF television Sunday that she is confident that the International Monetary Fund (IMF) will take part in a new bailout for Greece.

"I have no doubt that what Mrs. Lagarde said will then become reality," she said.

Merkel noted that the Greek burden could be eased by extending the maturities on its debt and reducing interest rates.

The German parliament will vote on the third bailout programme on Wednesday.

U.S. stock-index futures fell as manufacturing in the New York area fell in August.

Global Stocks:

Nikkei 20,620.26 +100.81 +0.49%

Hang Seng 23,814.65 -176.38 -0.74%

Shanghai Composite 3,994.37 +29.04 +0.73%

FTSE 6,518.97 -31.77 -0.48%

CAC 4,942.95 -13.52 -0.27%

DAX 10,871.73 -113.41 -1.03%

Crude oil $41.89 (-1.41%)

Gold $1122.90 (+0.87%)

(company / ticker / price / change, % / volume)

The New York Federal Reserve released its survey on Monday. The NY Fed Empire State manufacturing index plunged to -14.92 in August from 3.86 in July, missing expectations for an increase to 5.0. It was the lowest level since April 2009.

The decline was driven by a drop in the new orders and shipments index. The new orders index dropped to -15.70 in August from -3.50 in July, while the shipments index slid to -13.79 from 7.88.

The general business conditions expectations index for the next six months rose to 33.64 in August from 27.04 in July.

The price-paid index decreased to 7.27 in August from 7.45 in July.

The index for the number of employees fell to 1.82 in August from 3.19 last month.

Statistics Canada released foreign investment figures on Monday. Foreign investors added C$8.51 billion of Canadian securities in June, after a sale of C$5.46 billion in May.

May's figure was revised down from a sale of C$5.45 billion.

Canadian investors purchased C$8.6 billion of foreign securities in June, all non-US instruments.

Upgrades:

JPMorgan Chase (JPM) upgraded to Outperform from Mkt Perform at Keefe Bruyette, target $77

Downgrades:

Cisco Systems (CSCO) downgraded to Equal-Weight from Overweight at Morgan Stanley, target $30

Other:

Tesla Motors (TSLA) target raised to $465 from $280 at Morgan Stanley

The German Bundesbank released its monthly economic report on Monday. The central bank said that Germany's economy is expected to expand in the second half of the year, supported by rising consumption and growing exports.

The country's economy is expected to benefit from real income rises, the Eurozone's recovery, a weaker euro and foreign demand, according to the report.

The Bundesbank pointed out that Greek economy will gradually recover, supported by the bailout programme, tourism income and investments.

Germany's central bank expressed concerns over the economic growth in China.

"The risks of a stronger economic slowdown remains high. The decision of the Chinese central bank to allow the yuan to depreciate against the U.S. dollar can be seen as evidence of the uncertainty," the Bundesbank said.

Fitch Ratings said on Monday that it expects the Eurozone's economy to expand around 1.6% in 2015-2017, driven by a weaker euro, low oil prices, rising confidence, ultra-loose monetary policy and improved credit conditions. The agency added that high debt and structural weaknesses will weigh on the recovery.

Fitch noted that medium-term growth prospects for the economic growth in the Eurozone "are generally weak".

Stock indices traded mixed on news that the Eurogroup approved the third Greek bailout programme on Friday. The programme totals €86 billion. The Greece could get €26 billion in the first tranche from the third bailout programme. €13 billion will be used to cover the debt repayment and an additional €10 billion will be used to bolster capitalisation levels of Greek banks. The Greek government will get €3 billion for the implementation of fiscal and structural reforms.

Meanwhile, the economic data from the Eurozone was positive. Eurozone's unadjusted trade surplus jumped to €26.4 billion in June from €18.8 billion in May.

Exports rose at an annual rate of 12.0% in June, while imports increased at 7.0%.

Current figures:

Name Price Change Change %

FTSE 100 6,577.61 +9.28 +0.14 %

DAX 6,548.28 -2.46 -0.04 %

CAC 40 4,979.43 +22.96 +0.46 %

The Federal Statistical Office released its retail sales data for Switzerland on Monday. Retail sales in Switzerland declined at an annual rate of 0.9% in June, after a 1.8% drop in May.

Sales of food, beverages and tobacco fell at an annual rate of 0.6% in June, while non-food sales rose 0.6%.

On a monthly basis, retail sales rose by 1.4% in June, after a 1.4% decrease in May.

Sales of food, beverages and tobacco were up 0.6% in June, while non-food sales climbed 2.3%.

Eurostat released its trade data for the Eurozone on Monday. Eurozone's unadjusted trade surplus jumped to €26.4 billion in June from €18.8 billion in May.

Exports rose at an annual rate of 12.0% in June, while imports increased at 7.0%.

Japan's Cabinet Office released its final gross domestic product (GDP) data for Japan late Sunday. Japan's GDP declined by 0.4% in the second quarter, beating expectations for a 0.5% fall, after a 1.1% rise in the first quarter. The first quarter figure was revised up from a 1.0% increase.

Business spending fell 0.1% in the second quarter, while private consumption dropped 0.8%.

Exports dropped at an annual rate of 16.5% in the second quarter.

On a yearly basis, Japan's economy shrank 1.6% in the second quarter, beating forecasts of 1.9% decline, after a 3.9% rise in the first quarter.

The Bank of England's (BoE) Monetary Policy Committee Member Kristin Forbes wrote in a column in The Telegraph that if the BoE wait too long before starting to raise interest rates, it will have a negative impact on the country's recovery.

"Interest rates will need to be increased well before inflation hits our 2 per cent target. Waiting too long would risk undermining the recovery, especially if interest rates then need to be increased faster than the gradual path which we expect," she wrote.

The European Central Bank (ECB) Executive Board Member Benoît Coeuré said in an interview on Friday that the central bank could add further stimulus measures "if there was a fundamental change in the economic situation or the monetary stance was materially altered because of developments in the markets-for example, in the event of a sharp increase in long-term bond yields".

He noted that the economy in the Eurozone slowly improved.

The International Monetary Fund (IMF) said on Friday that it expects the Chinese economy to expand 6.8% this year and 6.3% in 2016.

"China is transitioning to a new normal, with slower yet safer and more sustainable growth," the IMF noted.

China's economy grew 7.4% last year.

The IMF pointed out that China should prepare for slower growth in the medium term.

Major U.S. stock indices advanced on Friday after several sessions of sharp swings.

Investors continued assessing the yuan devaluation. On Wednesday and Thursday stocks fluctuated much, but ended little changed. This means that investors are not sure how exactly this affects U.S. companies.

On Friday the Dow Jones industrial average climbed 69.15 points, or 0.4%, to 17477.40. The S&P 500 gained 8.15 points, or 0.4%, to 2091.54. The Nasdaq Composite rose 14.68 points, or 0.3%, to 5048.24. For the past week indices rose by 0.6%, 0.7% and 0.1% respectively.

This morning in Asia Hong Kong Hang Seng fell 0.99%, or 236.82 points, to 23,754.21. China Shanghai Composite Index declined 0.12%, or 4.73 points, to 3,960.61. The Nikkei added 0.25%, or 52.24 points, to 20,571.69.

Asian stocks outside Japan traded lower as the yuan stopped declining.

Japanese stocks climbed as Japan Q2 GDP data showed a smaller-than-expected contraction. The index fell by 0.4% in the second quarter compared to a 1% gain reported previously. Nevertheless the reading was better than a decline of 0.5% expected by economists. On an annualized basis Japanese economy contracted by 1.6% vs -1.9% expected.

(index / closing price / change items /% change)

Nikkei 225 20,519.45 -76.10 -0.37 %

Hang Seng 23,991.03 -27.77 -0.12 %

S&P/ASX 200 5,356.54 -31.33 -0.58 %

Shanghai Composite 3,965.64 +11.08 +0.28 %

FTSE 100 6,550.74 -17.59 -0.27 %

CAC 40 4,956.47 -30.38 -0.61 %

Xetra DAX 10,985.14 -29.49 -0.27 %

S&P 500 2,091.54 +8.15 +0.39 %

NASDAQ Composite 5,048.24 +14.68 +0.29 %

Dow Jones 17,477.4 +69.15 +0.40 %