Debt talk delays pull down euro

TALKS to agree a haircut and bond swap with private sector holders of Greek debt failed again to reach a conclusion last night, senior Bundesbank official Andreas Dombret confirmed.

The euro fell 0.9 per cent against the dollar to $1.31, and 0.9 per cent against the yen at 100.55 yen. Equities also dropped globally.

A deal must be reached by 20 March, when the country faces repayments of almost €15bn (£12.55bn).