The FTSE 100 opened around 30 points higher than Friday's closing level, before quickly losing gains by 9.30am.

Agreement between EU finance ministers of a £30 billion loan for beleagured Greece was the trigger for the upbeat start to the week, and the banking sector was the main benefactory in the markets. Finance broker ICAP was flying high with a 1.46% increase, with Royal Bank of Scotland and Barclays close behind on +1.41% and +1.04% respectively. Home Retail Group leads the way though, up 14.40 points (+5.14%) after a Sunday newspaper reported that Asda could be targeting the retailer for a bid. Sainsbury's also fared well, up 7.6 points (+2.25%) after brokers upgraded its rating from 'underperform' to 'buy'. The big miners were at the bottom of the heap, meanwhile, with Xstrata losing 2.19%  amidst speculation of a bid for Australian coal producer Macarthur, while Antofagasta dropped 1.69% after a broker downgrade from Citigroup. Eurasian Natural Resources, BHP Billiton and Kazakhmys also lost out, shedding 1.86%, 1.18% and 1.13% respectively.

With the FTSE now trading sideways from Friday's close, it remains to be seen whether any unexpected developments might spook the markets, although Greece is yet to accept the rescue package or the additional funds which could be coming from the IMF. Should the debt-ridden country bite the bullet and accept the support they've been offered, we could see a spike in European markets, and consequent ripples around the world. Looking further ahead, US investors will be looking to this afternoon's Budget statement and housing starts for positive economic indicators, so it will be no big surprise if US markets open sluggishly before picking up some volatility later in the day.