ROME: European stocks climbed Wednesday as debt-laden Greece moved to revive talks with its creditors, and as investors waited to hear what the Greek people will say in a vote about the crisis that’s led to banks being shut down.
The Stoxx Europe 600 SXXP, +1.51% rose 1.5% at 387.07, with all sectors ending higher.
Stocks held to gains after Greek Prime Minister Alexis Tsipras vowed to press ahead with Sunday’s referendum related to terms of a bailout agreement from Greece’s lenders. Tsipras urged Greeks to vote “no” in the referendum, adding that a “no” vote doesn’t mean exit from the euro.
Betting on yes: “Ultimately, there’s a wider feeling in the markets…that the Greek population is in favor of staying in the eurozone,” David Madden, market commentator at IG, said in an interview. “If you’re a Greek citizen living in Greece and you see the banks shut all this week and you have a referendum coming up, it’s almost like a proxy vote,” he said. “Are you voting for the banks to be reopened or possibly remain shut?”
In Frankfurt, the DAX 30 DAX, +2.15% packed on 2.2% at 11,180.50. France’s CAC 40 PX1, +1.94% climbed 1.9% at 4,883.19 and Spain’s IBEX 35 IBEX, +1.32% gained 1.3% to 10,911.50. The stock market in Greece GD, +2.03% is closed for the week. The yield on 10-year Greek government debt was down 37 basis points to 15.10% as prices rose.
