National Bank

By George Georgiopoulos

Greece's central bank has moved to protect its banks from any fallout from the coming general election, asking the European Central Bank to approve a stand-by domestic emergency funding line, a Bank of Greece official said on Saturday.

 Alpha and Eurobank are the other two to have applied for use of the mechanism that secures cash flow

By Yiannis Papadoyiannis

Revelations about the major shortfall in December state revenues ? with a direct impact on the primary surplus ? and the cacophony of statements from election favorite SYRIZA candidates on the future of relations with the country?s creditors put an end on Wednesday to a series of gains for the Greek benchmark that had stretched to three sessions.

The return of deflation to the eurozone and continued talk about a possible Greek exit from the economic and monetary union inflicted fresh losses on local stocks on Wednesday, although these were contained to less than 1.5 percent for the benchmark ? from over 3.5 percent earlier in the day ? marking a new 26-month low.

The stock market regained its composure somewhat after Parliament’s widely anticipated failure to elect a new president and Prime Minister Antonis Samaras’s announcement of general elections next month, as losses of up to 11 percent in afternoon trade were reduced to less than 4 percent by the end of the first session after Christmas.

Posting the lowest trading volume in 15 sessions, it was clear at the Greek stock exchange on Monday that investors were waiting for Tuesday’s presidential vote in Parliament, while the small increases registered by the majority of stocks showed that the market is still keeping its collective cool.

It was a rollercoaster ride of a session at the Greek bourse on Thursday. Despite the additional concern in the market generated by the result of the first vote for a new president late on Wednesday, the local benchmark managed to recovered from afternoon losses of more than 3 percent to close with gains of almost 1.5 percent, along the lines of other European bourses.

After racking accumulated losses of 9.35 percent in the previous four sessions, Greeks stocks finally reversed course on Thursday.

Athens Exchange (ATHEX) general index ended at 883.54 points, adding 1.29 percent to Wednesday’s 872.31 points. The large-cap FTSE/ATHEX 25 index rose 1.12 percent to 285.35 points.

By Yiannis Papadoyiannis

National Bank of Greece on Wednesday announced it intends to go ahead with the sale of some of its shares in Turkish subsidiary Finansbank, alongside the latter’s share capital increase. However it will retain a 60 percent stake in the Turkish lender.

Morning gains turned to afternoon losses for Greek stocks on Tuesday, as the benchmark dropped below the 900-point mark while National Bank’s stock dropped to a historic low of 1.71 euros per share.