Euro

Greece will stick to its plan to exit the bailout program at the end of this year with some form of precautionary support despite another day of turbulence on bond and stock markets, a senior government official told Kathimerini on Thursday.

Euro area annual inflation was 0.3% in September 2014, down from 0.4% in August which is the lowest rate recorded since October 2009, according to Eurostat statistics.

The European Union's executive commission has vowed continuing financial support for Greece as markets punish the bailed-out country's stocks and bonds.

Commission vice-president Jyrki Katainen said in a statement Thursday there should be "no doubt that Europe will continue to assist Greece in whatever way is necessary" so the government can keep financing itself.

Greece’s 10-year bonds fell a third day, pushing the yield up by the most in more than 15 months, on concern the government’s plan to end its bailout early will leave the nation unable to raise funding sustainably.

By Yiannis Papadoyiannis

LONDON – German government bond yields hit a record low on Tuesday as a monthly gauge of economic sentiment reinforced fears the eurozone’s engine may be slipping toward recession.

The ZEW institute’s index of German economic sentiment turned negative for the first time since late 2012, falling to -3.6 in October from 6.9 the previous month.

European Central Bank (ECB) funding to Greek banks fell in September by 2 billion euros, Greek central bank data showed on Tuesday.

ECB funding dropped to 42.56 billion euros last month from 44.56 billion euros in August.

The largest internet service provider in Montenegro, Crnogorski Telekom, has been ordered to slash its prices by about a third over the next few weeks.

The company, which became part of Deutsche Telecom following privatization 10 years ago, will have to cut the price of its internet services by 25 per cent from November 1 and by 35 per cent from December 1.

Eurozone industrial production fell more than expected in August, mainly because of a slump in the output of capital goods that are used for investment, data from the European Union's statistics office Eurostat showed on Tuesday.

By Lukanyo Mnyanda

Greece’s government bonds declined, pushing 10-year yields to the highest since May, after euro-area finance ministers clashed with the nation’s leaders over their desire to sever a bailout program.