Athens Stocks Sink Under The Burden Of Uncertainty
The General Index of ASE ended below 800 units for the first time since April 1995, forced by the severe pressures triggered by political ineffectiveness against the debt crisis domestically and abroad.
Banks suffered heavy pressures, as cumulative losses for week exceeded 15%, while total capitalization of banks amounts below €6.5 billion after Friday’s closure.
Amid negative climate in international stock markets, the Greek market moved sharply downwards on Friday, burdened by the downgrade of Greek banks by Moody’s, while trading volume and turnover increased, compared with previous sessions.
Takis Zamanis, trading director at Beta Securities, told Capital.gr, that the downgrade should not be considered unexpected, given the situation of Greek economy and banking system.
He explained that this downgrade brings rating closer to the current situation, without practically affecting the degree of ease or difficulty that Greek banks borrow.
Mr. Zamanis considers the downgrade by Moody’s as another warning for both Greece and Europe to accelerate actions to tackle the crisis.
Investors continue to worry, focusing on the developments at both domestic and European level, he noted. The challenge is to avoid negligence and prolong the period of uncertainty, insecurity and speculation.
Currently, nobody is able to know the margins of possible further decline, Takis Zamanis said. Especially, when it is still possible that Greek debt holder could suffer a haircut of 21%, he added.
On the board, the General Index ended at 797.95 units, moving into negative territory throughout the trading session, with intraday losses of 4.8%. The Index recorded cumulative losses of 7.75% for week.
Banks, which posted intraday losses of 9.37%, ended at 473.13 units with losses of 8.13%. Cumulative losses reached 15.36% for week.
Jumbo and ELPE managed to differentiate across FTSE20, posting profits of 4.47% and 3.68% respectively, while Ellaktor gained 1.37%.
On the other hand, Alpha Bank, Eurobank and TT posted double-digit losses of 13.33%, 12.15% and 10.68% respectively, while Piraeus Bank and Marfin Popular Bank ended below 9.09% and 8.33% respectively. OPAP and National Bank fell by 7.93% and 7.38% at €7.2 and €2.76 respectively.
MIG recorded losses of 6.9%, while Bank of Cyprus and PPC declined by 3.94% and 3,62% respectively. Mytilineos and OTE ended down 2.67% and 2.5% respectively, while Viohalco, Titan, Coca-Cola 3E and Folli Follie lost over 1%.
(capital.gr)