Losses con­tained af­ter roller­coaster week for lo­cal stocks

Kathimerini English - - Business & Finance -

The gov­ern­ment cri­sis and the reshuf­fle on Fri­day con­sti­tuted a roller­coaster ride for the Greek stock mar­ket last week, which ended with sig­nif­i­cant gains.

The Athens Ex­change (ATHEX) gen­eral in­dex closed on Fri­day at 1,254.02 points, shed­ding 0.13 per­cent com­pared to the pre­vi­ous Fri­day’s close. On Thurs­day the main in­dex dropped to the low­est point this year – 1,208.09 points.

From the start of the year the in­dex has lost 11.31 per­cent of its value. How­ever, the FTSE/ATHEX 20 blue chip in­dex gained 1.15 per­cent week-on-week.

The ap­point­ment of Evan­ge­los Venize­los to the post of fi­nance min­is­ter gave bank stocks a boost on Fri­day. Still, a ma­jor fac­tor in the late gains on the bourse last week was the agree­ment be­tween the French and Ger­man gov­ern­ments re­gard­ing Greece’s bailout, al­though the frag­ile na­ture of ne­go­ti­a­tions in the eu­ro­zone ren­ders any pre­dic­tion for this week very risky.

Many listed firms feel the mar­ket right now re­sem­bles quick­sand, which is rul­ing out any cor­po­rate moves as they could prove fa­tal for their fu­ture. Their only re­sort is the sale of real es­tate hold­ings in or­der to bol­ster cash flows at such a dif­fi­cult junc­ture. Com­pa­nies such as Her­a­cles, Ala­tini Ce­ram­ics, Rilken, Sidma, Koum­bas, Elas­tron and Edra­sis are all look­ing to in­crease their cash flow through uti­liza­tion of prop­erty.

Mean­while, the mar­ket is ea­gerly an­tic­i­pat­ing con­sol­i­da­tion moves in the bank­ing sec­tor, start­ing with the ab­sorp­tion of T Bank by Hel­lenic Post­bank.

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