On Tuesday Greece had paid more yield than the previous month for selling lower amount of the 26-week T-bills.

Jan von Gerich, senior analyst at Nordea in Helsinki said, "The most recent jitters in the euro government bond market have pushed the likely re-entry point of Greece to the bond market further into the future."

Greece has exchanged severe austerity measures with $153.15 billion bailout package in a month of May and had also offered _300 million of the T-bills while it sold _390 million, which also includes 30 percent of the noncompetitive tranche.

The Prime Minister of Greece, George Papandreou said that restructuring the debt of the country would be harmful for both the credibility and economy of the country.

He also added that if the debt payments were cancelled in Greece, it would cause a probable and potential collapse of the banking system of the country. He said restructuring of the debts would cause the loss of property of the Greek families creating a huge tragedy. This statement from the PM came after the IMF declared to give the second phase of rescue loan to Greece.

The entrustment from the European Commission, International Monetary Fund and European Central Bank is due in Athens as Greece is anticipated to be offered with Euro 9 billion by Tuesday from the IMF and various other nations, belonging to the Euro zone.

The international investigators are going to initiate with the process of scrutinizing Greece’s endeavors concerning refurbishing its insolvent financial system and also, streamline its budget, keeping in mind approving another installment of the bailout loan amount.

On Saturday, George Papandreou, Prime Minister of Greece, attended the 75th Thessalonica International Trade Fair, in the city of Thessaloniki, where he emphasized that the Government is not going to surrender its plans, which have been designed for the reformation of the financial status of the country’s economy.

Nevertheless, he urged the people to understand their significance in making these plans actually effective and ultimately in taking the country out of economic recession.

The debt laden economy of Greece has seen a fall of 1.8% in the second quarter of this year as a result of the slashed consumers spending.

The decline in the economy was worse than expected before and well above the 0.8% shrinkage of the first quarter of the year. According to the national statistics office of Greece, the private consumption dropped down by 4.2% year on year against a rise of 1.5% in the first quarter in this year.

French Finance Minister Christine Lagarde has described the Euro as a credible as well as solid currency.

Christine Lagarde also said in an interview with the BBC that she was optimistic debt-laden Greece would be able to slash its public debt.

Lagarde’s comments emerged as the Euro slipped to a 19-month low against the pound on Thursday. Sterling was trading at €1.2351 against the Euro in morning trading, the lowest since November 2008.

Today for a change in the market the staggering euro was riding high due to the robust demand as the debt auctions soothed the issue related to the euro zone debt problems after the Monday's downgrade of Greece.

Further the euro eradicated the losses felt during the weak German ZEW investor sentiment survey, which has once more cropped the concerns regarding the negative aftermath of the euro zone debt crisis in the economy.

Following the remarks by a senior official's warning that the country is on the brink of facing a Greece-style fiscal meltdown, Hungary's new Government has failed miserably to calm the financial markets.

The remark made by Vice President of the Fidesz party, Lajos Kosa, said that Hungary is in a Greece-like sovereign credit crisis. Following the remark the currency of Hungary collapsed and the euro also came under extreme pressure.

However, no comments were made by the spokesman for Prime Minister, Viktor Orban as in the wake of the remark.

The first installment of emergency loans to Greece has been transferred by the European Union. This will allow the country to reimburse 8.5 billion Euros of bonds due tomorrow and avoid non-payment. EU Spokesman Amadeu Altafaj shared that an amount of 14.5 billion Euros was sent today.

Hardly a year after global financial markets were pulled from the edge of collapsing, there have been bubbling fears that a European sovereign debt catastrophe may possibly thrust the world into another round of financial turbulence.

By late last week, stock markets in all major areas were rotating ferociously with indications that Greece was imminent of a debt default that could be the tipping point for defaults in Portugal, Ireland, Spain, the other members of the PIIGS group of heavily indebted-countries, and Italy as well.

Following the collapse of the Greek economy, experts feel that US is facing a crisis of confidence.

Greek debt burden, companies delaying stock issues, drop in demand, all these signs have increased the anxiety globally and in turn have retarded the pace of US recovery.

According to the reports, the US debt-to-GDP ratio has approached almost 90%, leading to higher budget deficits, shrinking stock portfolios and loans.

That an unprecedented bailout package worth 110 billion Euros (140 billion dollars) could not drive out the recession-accompanied gloom in Greece is enough to gauge the kind of economic uncertainty that has gripped the country’s workforce.

The EU-IMF loan announcement was made on Saturday Greek PM George Papandreou even as the country's main labor union warned of fresh protests. Notably, the mood in debt-ridden Athens seems to be dominated by the week's riots that broke amid the fear of austerity norms being implemented.

Greeks are not at all okay with austerity norms that the government has promised to enforce in lieu of billions of Euros in EU-IMF aid, a mood evident from relentless protests that the country has been witnessing nowadays.  The fact that people are irate was also established by two opinion polls made public on Saturday.

Sixteen-nation eurozone has agreed to provide debt-hit Greece with a financial aid of 30 billion euros (£26 billion), in a move that helped the euro to report the biggest daily gain in two months on Monday.  

The announcement of the aid also helped Asian stocks to hit the 22-month highs. 

Greek Prime Minister George Papandreou has expressed a strong concern over the nation's rising pressures of debt crisis, which is in turn affecting the stability of the euro zone.

The Prime Minister exclaimed that the country doesn’t need financial aids but solidarity from its European peers.

"Unfortunately, history has fully confirmed our worst fears. Our duty today is to forget about political costs and only think about the survival of our country ... Past policies make it necessary to proceed to brutal changes", he said.