ROME: European stocks have sunk, with Athens plunging by over 7 per cent at one stage and Germany’s main index at a four-month low, after weekend talks between Greece and its creditors collapsed sparking fresh fears of a Greek default.
Greece’s benchmark Athex index ended the session down 4.7 per cent at 738.25 points, with Greek banking shares especially hard hit.
In Europe’s main markets, Frankfurt’s DAX 30 index slumped 1.9 per cent to 10,984,97 points, sinking below the 11,000 mark for the first time since late February.
London’s benchmark FTSE 100 index of top companies closed down 1.1 per cent at 6,710.52 points, and in Paris, the CAC 40 dropped 1.8 per cent to 4,815.36 points.
“The markets were awash with red… as investors continued to deal with the aftermath of the weekend’s most recent Greek-deal collapse,” Spreadex analyst Connor Campbell said.
Kash Kamal, research analyst at Sucden Financial, added that “the threat of a Greek default and probability of a Greek exit from the euro became increasingly likely possibilities.”
