Contagion fears weigh heavily on Eurozone and force European markets to massive sell-offs. Losses of 2% across Europe, Greek banks fall by 5%.
The bond spreads of peripheral Eurozone move again close to new highs, while the euro continues its free fall, moving close to $1.385. In the Milan Stock Exchange, banks received a new blow, as the trading of UniCredit has been suspended after a limit down.
The European officials failed to convince the market that they are close to a comprehensive solution for the debt crisis at the Eurogroup meeting yesterday. The German finance minister said that there is time until September for the Greek problem, but the markets don’t seem to share the same opinion.
Europe is losing control, as it has been dilatory in reaching a solution for Greece, Nikos Chryssochoidis, CEO of N.Chryssochoidis Securities, told
Capital.gr.
According to Nikos Chryssochoidis, Greece is in a bad position for two reasons. Firstly, because there is no solution to its problems yet and secondly there is a growing talking that Greece should be sacrificed in order to save Italy.
“Unfortunately, foreigners understand that the likelihood of an accident is increasing”, he added.
Marfin Analysis expects the uncertainty to continue in anticipation of the EU’s decision for handling Greek debt, which is not expected however before the end of July.
On the board, the General Index is at 1,189.21 units with losses of 2.43%. Intraday losses reached 4.34%, while the turnover stands at €36.85m. A total amount of 89 share decline, only 77 rise and 15 remain unchanged.
Banks fall by 4.91% at 822.66 units. Marfin Popular Bank loses 9.26%, while ATEBank declined by 7.95%. Bank of Cyprus, Hellenic Postbank and Piraeus Bank post losses of 6.82%, 6.18% and 5.32% respectively.
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