the last three weeks, was forced to severe losses on Tuesday.
The trading activity was weak for the most part of the session, with the mildly downward trends accompanied by a very thin volume.
However, Greece’s rating downgrade by S&P was the negative catalyst that intensified pressure and dragged down the General Index and banks with losses of up to 2.55% and 4.87% respectively.
The rating action strikes domestic sentiment at a time that Greek market attempts to resist at certain price levels with thin turnovers, especially after the decision of the European Union leaders in Brussels last week, according to analysts.
source: CAPITAL
Moreover, amid negative news from Libya and Japan, the weak trading activity makes the domestic market more vulnerable to this new development, however analysts believe that investors will soon evaluate calmly its consequences, compensating part of current losses.
Analysts also consider S&P’s rating action as unexpected, which surprised negatively the market, despite the agency’s warnings, given the willingness that European leaders showed to help the country repay its debts.
Across the board, the General Index ended at 1579.76 units, down 1.97%, after a fluctuation into a margin of 44 units. Approximately 31.8mn units worth €111.06mn were traded on Tuesday, while a total of 123 shares declined, 40 rose and 120 remained unchanged.
Banks suffered losses of 3.66%, ending at 1297.35 units. Proton Bank fell by 7.14%, while Piraeus Bank and Attica Bank followed with losses of 5.77% and 5.56% respectively. Geniki Bank and ATEbank declined also by more than 5%, while Hellenic Postbank, Eurobank and National Bank recorded losses of 4.96%, 4.53% and 3.89% respectively. Bank of Cyprus, Marfin Popular Bank and Alpha Bank declined by 3.08%, 2.20% and 1.59% respectively.
