Athens Stock Exchange recorded the biggest crash since 1987! In a storm session and a massive sell off stocks and shares worth more than 212 million euro changed hands and losses reached short before the session closed at -13.04%.
Banks losses reached -18.66% (Piraeus), -19.02% (NationalBank) -12.09% (Eurobank) -16.06% (AlphaBank)
FTSE 20 -13.16% and FTSE Mid Cap 40 -12.77%
The horror session closed at 5:15 pm local time with looses at -12.78% and the General Index at 902 units.
At the same time 10-year bonds yield skyrocketed at 8.05% from 7.27% at the begin of the day.
Apparently, marketers reacted very aggressive to the possibility of early parliamentary elections, as Greek Prime Minister Antonis Samaras announced on Tuesday Stavros Dimas as the presidential candidate. A candidate who can hardly get together 180 votes in the Parliament that will most likely be dissolved on December 29th opening the way for snap polls probably towards the end of January 2015.
See earlier updates and the causes for the crash below:
UPDATE -3:52 pm
Athens Stock Exchange is on a crash course with an unstoppable sell off! At 03:52 pm local time the General Index is at 920 units and the losses are as heavy as -11.17%! The crash is more likely to reach a previous record of -12% in October 1987 but back then it was due to an international crisis and not due to national political developments like the upcoming presidential election, the risk of snap polls and “the danger that left-wing SYRIZA arises as winner of the parliamentary elections most probably set for January 2015,” as some neoliberal marketers claim.
The biggest losses the ASE has recorded were in October and December 1987 with -12% and -15% respectively but apparently there was an international crisis at that time.
See earlier updates and the cause for the crash below:
It looks as if the markets do not fancy the latest political developments in Greece. Accelerated Presidential election? Parliament dissolving by end of December? Snap polls beginning of 2015? “No, thanks!” said the marketers and went into a frenzy sell off. Athens Stock Exchange started with heavy losses of -6.71% and the General Index fell below 1000 units in the first hour of Tuesday’s session.
By 11:38 am local time:
General Index 968.96 units
Losses – 6.39%
Banks -8%
UPDATE 12:36 pm local time
General Index at 951.02 units and losses -8.12%
panic!
CRASH! CRASH! CRASH! – 10.58% !!!
UPDATE 13:39 local time
ASE records one of the heaviest crashes in its history.
at 13:39 the General Index is at 925.58 units and the losses have reached -10.58%!
Not even the announcement of Stavros Dimas as presidential candidate could clam the marketers! And how could they calm down?
The biggest losses the ASE has recorded were in October and December 1987 with -12% and -15% respectively but apparently there was an international crisis at that time.
At the same time, the “technical extension” of the bailout program should be considered as “market positive” I hear.
PS at the very end maybe marketers did not like the Greek innovation to announce Presidential elections without naming a candidate?
