LONDON Greece's borrowing costs fell sharply on Friday as signs emerged that the country's main creditors have agreed a common stance on bailout talks.
Two-year Greek government bond yields in fell more than 100 basis points to 8.81 pct GR2YT=RR, moving further away from seven-month highs above 10 percent hit on Thursday as worries about the future of Greece resurfaced.
Euro zone lenders and the International Monetary Fund have agreed between themselves to present a common stance to Greece later on Friday in talks on reforms and the fiscal path Athens must take, euro zone officials said, bringing some relief to markets.
"There seems to be a high degree of will to put this issue to bed prior to elections in the euro zone," said Rabobank fixed income strategist Lyn Graham-Taylor.
(Reporting by Dhara Ranasinghe, editing by Nigel Stephenson)