Athens Stocks suffered heavy losses on Thursday in a significantly increased turnover compared with the recent corrective sessions.
Banks were under severe pressure, with Proton Bank (-11.46%), Eurobank (-9.03%), Hellenic Postbank (-7.40%) and Alpha Bank (-6.46%) posting the biggest losses of the banking sector, while only one share from the composition of the General Index managed to finish in positive territory (Eurobank Properties by +0.46%).
Market analysts attribute today’s decline partly to consolidation movements due to Greek bond spreads widening and delays of European Union decisions about Greek debt.
However, they note that speculation has fueled increased borrowing of Eurobank and Alpha Bank shares, which resembles to the last sessions before the capital increase of National Bank and Piraeus Bank.
However, banking sources who wish not to be named told Capital.gr that “there is no reason for concern”.
"The correction is logical so that company valuations begin to conform with those implied by bond markets and the banking sector is more sensitive to that than non-financials due to large bond portfolios, among other factors," Natasha Roumantzi, head of analysis at Piraeus Securities, told Dow Jones Newswires.
"Bond spreads are still prohibitively high but bank equities were getting ahead of themselves on hopes of an EU led debt crisis resolution," she added.
Across the board, the General Index retreated by 3.46% at 1632.06%, slightly higher than session’s low. Trading volume amounted to 66.46mn, while the total turnover stood at EUR 180.25mn. A total amount of 138 shares declined, 44 rose and 102 remained unchanged.
Banks fell by 5.19%, at 1426.8 units. Bank of Cyprus and Piraeus Bank retreated by 4.97% and 4.88% respectively, while National Bank, ATEbank and Marfin Popular Bank declined by 4.51%, 3.8% and 1.77 respectively.
source: capital
