Nicolas Sarkozy, the French President, mentioned yesterday during his meeting with the Greek Prime Minister that Greece needs a bailout from the EU to face its widening budget deficit. He said if Greece still needs money till May then Germany and France would sit to discuss how to help Greece.

Also, he warned speculators from betting against the euro or Greek bonds after the 16-nation currency dropped nearly 7% versus the dollar since December, while the spread between Greek 10-year bonds and their German peers slipped sharply.

Sarkozy's announcement gave a boost to the euro which inclined to 1.3665 from the day's opening at 1.3630 as of 08:40 GMT.