Fears over Greek bailout send shares and euro tumbling (House of cards)
Share prices have dropped across Europe and the euro has slid to an 18-month low against the dollar on fears that the eurozone bailout of Greece will fail and reports that French president Nicolas Sarkozy threatened to pull his country out of the single currency altogether to force Germany to agree to the rescue plan.
The panic selling has been stoked by news that Spain’s underlying inflation rate turned negative in April for the first time on record, adding to fears that the country is facing a cash crunch.
By lunchtime the FTSE 100 index was down almost 100 points with indices across Europe in negative territory. Frankfurt’s DAX index was down more than 1%, Paris’s CAC-40 index down 2.6% and the IBEX 35 in Madrid down 4%. The ASE in Athens was down more than 3.0%. The euro, meanwhile, dropped down to $1.2432, having been trading early in the day 0.3% higher against the US currency.
(Excerpt) Read more at guardian.co.uk
If you enjoyed this post, please consider to leave a comment or subscribe to the feed and get future articles delivered to your feed reader.
Comments
No comments yet.
Leave a comment