Trading cautious after Greek deal delay 12.00 GMT: Losses triggered by the failure to reach agreement over Greece's bailout have been largely clawed back but assets are trading in a tight range following a fresh warning about the US fiscal cliff. The FTSE All-World equity index was 1 point higher at 213.31, having dipped into negative territory earlier in the session, while the euro was down just 0.1 per cent against the dollar at $1.28, having earlier fallen as much as 0.6 per cent. The dollar index was still higher, in line with the cautious mood, but only by 0.1 per cent to 81.03. Copper, which tracks the outlook for the global economy closely, declined 0.6 per cent to $7,736 a tonne, having dropped as much as 1.3 per cent, the lowest for two weeks. European equities also edged into positive territory. The FTSE Eurofirst 300 was up 1.2 points at 1,095.18. US futures reflected the improvement in sentiment in Europe and moved into positive territory, suggesting shares in New York would open higher in the final session before the Thanksgiving holiday. A warning from Ben Bernanke that the looming fiscal cliff was already having a negative effect on the US economy held back Asian shares. The chairman of the Federal Reserve added that 2013 could be a "very good year" for the US if politicians can quickly agree a deal to avoid up to $600bn of automatic tax rises and spending cuts due to take effect at the end of the year, and that failure to do so could lead the economy into recession. The Asia-Pacific index added 0.1 per cent to 234.87, with Japanese stocks continuing to benefit from ongoing yen weakness. The failure of the meeting of the so-called troika - the European Central Bank, International Monetary Fund and the EU - came as a surprise to markets which had been expecting a deal to sign-off up to €40bn of aid to Greece. But after 12 hours of talks disagreement remained about how to reduce Greece's debt levels and plug a funding gap and another meeting was arranged for Monday. The discord centres on how to reset a current debt-to-GDP ratio target of 120 per cent by 2020 for Greece. Germany has ruled out debt relief on existing government loans to the country, while the Netherlands is resisting any move to buy back private sector debt and the IMF is blocking attempts to extend loan repayment dates. Greece's debt levels have ballooned this year and the country's recession has hit economic activity. Greek debt is now expected to peak at 190 per cent of gross domestic product by 2014. Marc Ostwald at Monument Securities said: "Greece's problems are about its debt mountain, which is de facto not sustainable without a huge write-off that will have to include all official sector holdings and, preferably reduce the current outstanding debt to GDP ratio to 60 per cent or at worst 80 per cent - there are no other solutions other than outright default. This will not change today, on November 26 or any other date, though the longer the various parties involved fail to face up to this reality, the higher the probability of a very disorderly default. George Zois, Greek analyst at Exotix, said: "This [news] was a negative read for the simple fact that it keeps delaying something that is quite important from a liquidity prospective. Greece is in "a wait and see" mindset and nobody is acting on plans and everything is very much dependent on that tranche coming through." The Athens General index remained one of the worst-performing indices, down 1.9 per cent to 805.31, on the back of heavy losses for the banks. Among them, Alpha Bank lost 4.6 per cent, while National Bank of Greece shed 6.8 per cent. A busy schedule of US economic data, including flash manufacturing PMI and weekly jobless claims, will be most closely watched following the release of upbeat housing data earlier this week. The dollar rose another 0.6 per cent against the yen to Y82.17, the highest level since early April. Shinzo Abe, head of the opposition Liberal Democratic party and likely next prime minister following the elections on December 16, has been a vocal proponent of powerful new easing measures being taken by the BoJ and the publication of the LDP's election platform overnight confirmed that view. Oil prices moved higher after reports of a bomb explosion on a bus in the centre of Tel Aviv. The news will hamper diplomatic efforts to end the week-long conflict between Israel and Gaza militants. Brent crude was up 1 per cent at $110.98 a barrel. WTI, the US benchmark, was up 0.8 per cent at $87.43 a barrel.