Financial Morning News 22/10/2012


The General Index in Athens Stock Exchange (ASE) closed at 870.64, posting profits of 0.90% and ended at new 13-month highs, in a turnover of €77.49mn.

The Greek Prime Minister Mr. Antonis Samaras said that the issue of Greece’s debt sustainability in the medium-term is expected be resolved politically so that the country can stay in the euro-zone. He added that he did not have any reason to support the IMF proposal for euro-zone countries to take losses on their loans to Greece. Mr. Samaras also expressed confidence that the troika would produce a positive review of the economic adjustment program that would enable it to get the tranche of €31.5bn in aid by mid-November, as Greece will run out of funds by the end of November The French President Mr. Francois Hollande and the Italian Prime Minister Mr. Mario Monti had accepted his invitation to visit Athens in the near future and the dates for those visits would be announced soon.

The Finance Minister Mr. Yannis Stournaras said that Greece has covered 90% of the ground it needs to in order to secure the disbursement of its next bailout tranche. For this reason, the government is set to seal an agreement with the troika on the €13.5bn austerity package by Thursday when the Euro Working Group meets. The Euro-zone technical officials will prepare the assessment on the Greek package that will be passed to finance ministers when they hold talks, possibly via teleconference, on October 29. Then Greece will have to submit the measures to Parliament and vote on them by November 12, when the Eurogroup will hold its regular meeting.

According to German news magazine Spiegel, the Germany’s Finance Ministry is considering a debt buy-back as a possible way of reducing Greece’s debt. The Greek government could borrow money from the euro-zone’s permanent bailout fund and use this to buy back its own debt, which at present trades at around 25% of its face value. Buying just €10bn worth of Greek bonds could reduce the debt mountain by €40bn. A spokesman for the German Finance Ministry said that they do not want to engage in speculation and will wait for troika’s report.

Corporate Impacts

  • Piraeus Bank:
    The bank signed a deal to acquire Societe General’s Greek unit, Geniki Bank for €1mn. The acquisition will boost its capital ahead of its upcoming recapitalization. The investment will involve Societe General providing a €281mn capital boost to Geniki and acquiring a €163mn bond issued by Piraeus Bank.
  • Technical

    FTSE 20 December future:

      Support levels: 320-314-308. Resistance levels: 334-340-348.


    The information that EUROCORP (henceforth the “Company”) provides via the web page, can be used only for informative aims and not for commercial, investment or other purposes. They cannot be considered as offer, advice, or proposal for purchase or sale of securities issued by companies that are reported in the web page of the Company, or as prompt on the realisation of any form of investments. The Company is not by any chance accountable for commercial or investment decisions that will be taken based on this information.

    The information emanates from sources that are available in public and are generally considered reliable. The Company overwhelm each possible effort for the verification of the validity of this information. Nevertheless, the Company is not committed as for the precision, plenitude and safety of information and consequently no responsibility arises for the company from the use of this information.

    The use of web page is under the exclusive responsibility of each user, who accepts that the information and services, are provided “as such” and “depending on the availability”, without any guarantee of the Company, indicatively reported the guarantees of satisfactory quality or appropriateness for concrete aims.

    Get Adobe ReaderYou will need Adobe Reader to open the files. If you do not have it already, you may download it from Adobe’s website by clicking the icon on the right.