Index

Traders hardly batted an eyelid at the government’s positive result in the parliamentary vote for the budget, keeping most of their attention firmly fixed on developments on the troika front. Accordingly the Greek bourse saw little action, with the benchmark refusing to give any ground and remaining afloat for one more day on Monday.

The prospect of convergence between Athens and its creditors on a technical extension of the Greek bailout agreement, coupled with some signs that Parliament may elect a president and prevent snap polls sent stocks soaring on Friday, though this time it was non-banking blue chips that led the way.

Recent Turkish data is hinting at an economic recovery driven by domestic demand, especially consumption, which is actually really bad news. I will explain myself, but let’s start with the facts:

The European Central Bank’s refusal to take any further action to boost growth before next year took a toll on most European markets, with the local bourse seeing its early gains turn into losses on Thursday.

As Greece draws closer to having its bailout support extended, the bourse enjoyed a fourth consecutive day of gains on Wednesday, with the benchmark climbing back over the 1,000-point mark to its highest point since October 9.

Stocks staged a mini-rally in Athens on Tuesday in anticipation of an agreement between the government and its creditors, while market rumors spoke of the increasing likelihood that the government will obtain the 180 parliamentary votes it needs to elect a new president in February.

Investors’ wait-and-see stance regarding Greek stocks left the benchmark virtually unchanged on Monday, with the smattering of gains recorded during the day evaporating by the end of the session. Moody’s decision to postpone its revision of Greece’s credit rating contributed to the reduced trade at the start of the month, with turnover dropping to very low levels.

All of Wednesday’s stock gains evaporated during Thursday’s trading session in Athens as uncertainty regarding the country’s political and fiscal future overshadowed the positive corporate results announced in the last few days.

Unimpressed by news of the inconclusive talks between Athens and its creditors in Paris, investors secured fresh gains for local stocks on Wednesday, focusing on banks and other selected blue chips.

The last hour of trading on the Greek bourse on Tuesday generated significant losses for the majority of stocks despite assurances by the finance minister that progress was being made in talks with the country’s creditors.

The Athens Exchange (ATHEX) general index closed at 962.05 points, shedding 2.83 percent from Monday’s 990.11 points.