FTSE

The benchmark of the Greek stock market slumped on Wednesday to a new month-low, as it has completed four consecutive sessions of decline and traders showed no intention of containing its losses - which may point to more losses.

Greek stocks continued their decline on Tuesday, with the benchmark of the market containing its losses somewhat thanks to the reaction by Coca-Cola HBC (the stock with the highest capitalization on the bourse) and National Bank (following five straight southbound sessions).

For no obvious reason, except for the lack of buying interest, the Athens bourse started the week on particularly low turnover and losses for the majority of stocks. The market may be waiting for corporate developments before some cash flow is restored, a possibility being the upcoming Moody's rating verdict on Greece this Friday, or the European Central Bank meeting on Thursday.

The positive news from the US labor data and the outperforming of the Greek economy in the European context during the year's second quarter did not suffice to give further momentum to buyers at the Greek stock market on Friday. However, the small losses were not enough to reverse the positive weekly picture of the market, with September confirming its promising start.

Not only did the benchmark of the Greek bourse recover all its Wednesday losses on Thursday, but it also did it on increased turnover, which confirmed that local stocks are gathering interest again this month. The rise in prices was led by non-bank blue chips, especially those in the energy sector, but extended across the market.

Foreign pressures brought prices down on the Greek stock market from the start of Wednesday's session, but many stocks reacted toward the end and contained their losses considerably. Likewise, the benchmark regained some of the ground lost over the course of the day and its decline upon the close will not concern observers, as it points to a likely rebound. 

Tuesday's balanced bourse session at Athinon Avenue left the benchmark virtually unchanged and a slight majority of stocks that headed higher, while blue chips ended up in the red. Following Monday's growth, the market managed to hold on to its gains as there was no clear direction for traders to take on the day.

After a disappointing August, this month started with very positive action at the Greek stock market on Monday. Despite the holiday in the US (Labor Day), there were enough sellers to push the benchmark at Athinon Avenue higher, with satisfactory turnover in the aftermath of last Friday's index rebalancing action. Rising stocks outnumbered decliners by two to one.

Banks led the Greek stock market to a remarkable rally on Wednesday, which compounded the month's gains to see the benchmark at Athinon Avenue end July 5.26% higher than its level at end-June. The interest in the market was also highlighted by the significant increase in turnover, though rising stocks only marginally outnumbered decliners on the day.

The Greek bourse revealed a very interesting picture on Tuesday as there was a general trend for sales almost the entire session, but certain blue chips (most notably Eurobank) and a large number of other stocks resisted, leaving the rising stocks almost on at the same level as the decliners. Trading volume also showed some welcome improvement, a day before the end of the month.