12:28 GMT14 June 2021
Listen Live
    Business
    Get short URL
    0 45
    Subscribe

    On Tuesday, the benchmark Athex General Composite Share Price Index opened down 6.39 percent, reaching a low of 761 points. By 14:00 GMT it recovered to 776 points, or 4.59 percent lower than Monday’s close.

    MOSCOW, January 27 (Sputnik) — The Athens Stock Exchange took a big plunge Tuesday on investors’ fears over whether the new far-left government will reject Greece’s bailout program, AFP reports.

    On Tuesday, immediately after the announcement of the new SYRIZA-Independent coalition cabinet, the benchmark Athex General Composite Share Price Index opened down 6.39 percent, reaching a low of 761 points. By 14:00 GMT it recovered to 776 points, or 4.59 percent lower than Monday’s close.

    Bank shares have been the worst performers. The banking index slumped to a new 52-week low with losses of more than 15 percent.

    The reason bank shares plunged so badly is the possibility that the new government would replace the administrations of all major Greek banks, according to a comment by a Beta Security broker.

    The anti-austerity government, formed Sunday, plans to renegotiate Greece’s 240 billion euro ($269 billion) bailout agreement.

    The EU has set the end of February as the deadline for Greece to implement more reforms in order to receive a seven billion euro tranche of financial aid from the European Union and the IMF.

    Tsipras, who plans to renege on many of the austerity measures that Greece’s creditors insisted on, must decide whether to extend the deadline.

    Related:

    Stock Market Crash in China Biggest Since 2009, Rest of World Set to Rally
    Asia-Pacific Stocks Up on Financial Sector Gains, Oil Back to $60/bbl
    Market Turbulence Increasing on China Concerns, US Optimism
    Tags:
    shares, business, stock market, Athens Stock Exchange, Greece
    Community standardsDiscussion