Dr. Platon Monokroussos, Chief Market Economist, Deputy General Manager, Eurobank Ergasias S.A
HIGHLIGHTS
WORLD ECONOMIC & MARKET DEVELOPMENTS
GLOBAL MARKETS: Asian and European stock markets kicked off the week on a negative footing amid heightened concerns about the Greek issue. Against this backdrop, EMU peripheral sovereign spreads widened and the euro retreated against major currency peers.
GREECE: In the Greek referendum that took place on Sunday, “No” received 61, 31% of the vote, while “Yes” received 38.69% of the vote. Following the result of the referendum late on Sunday evening, the Greek PM Alexis Tsipras in his address to the nation confirmed afresh that: “The mandate you give me is not a mandate of a rupture with Europe, but a mandate to strengthen our negotiating position in order to achieve a viable solution.” Meanwhile the ECB is expected to hold a conference call this morning and according to media reports, the ECB will likely maintain the ceiling to the provision of emergency liquidity assistance (ELA) to the Greek banks unchanged at its current level estimated at ca €89bn.
SOUTH EASTERN EUROPE
BULGARIA: The domestic equity market closed little changed on a weekly basis on Friday as investors largely shrugged off Greece-related concerns.
SERBIA: In FX markets, the dinar closed modestly weaker on a weekly basis on Friday, after the Central Bank (NBS) intervened in the FX markets to halt the currency’s appreciating momentum.
