Greece and eurozone finance ministers agreed on a draft proposal Friday that could extend the country's bailout program, Reuters reported, citing a Greek government official. The news comes after Greek Prime Minister Alexis Tsipras said Friday he is "certain" eurozone finance ministers will accept a deal.
A separate report Friday said the Eurogroup foresees a four-month extension to Greece's bailout, Dow Jones reported, citing officials.
"There is an initial agreement on a joint draft text among the institutional partners, which is now being presented to all of the ministers," a Greek government official told Reuters Friday. However, Athens and eurozone officials haven't yet reached a deal to extend Greece's bailout, a Greek government spokesman told CNBC Friday.
Eurozone officials are currently holding an emergency meeting regarding debt negotiations over Greece’s $270 billion bailout package that expires at the end of the month. Germany surprised the global financial markets Thursday when it rejected the Greek government’s request for a six-month assistance package, rather than a six-month extension of its current bailout program, which would come with austerity and reform conditions that the new Greek government rejects.
"I feel certain that the Greek letter for a six-month extension of the loan agreement with the conditionalities that accompany it will be accepted,” Tsipras said in a statement to Reuters earlier on Friday.
U.S. stocks tuned positive following the report, boosted by investor optimism on progress toward a final Greece deal. The Dow Jones Industrial Average, which measures the share prices of 30 large industrial companies, gained 39.77 points, or 0.22 percent, to 18,025.54, and the S&P 500 stock index added 1.45 points, or 0.07 percent, to 2,098.38. The Nasdaq Composite rose 7.27 points, or 0.15 percent, to 4,931.97.
Following the report, the euro traded close to session highs at $1.14 against the U.S. dollar. The euro had previously been trading 0.62 percent lower against the U.S. dollar at $1.12 earlier Friday morning.