GREEK FINANCIAL MARKET

The General Index in Athens Stock Exchange (ASE) closed at 998.48 posting profits of 0.70%, in a turnover of €50.19mn.

Corporate Impacts

• Greek Banks:The net bank lending to Greek businesses and households in January shrank 4% compared with the same period last year, as demand for bank loans continued to slide. At the same time, the deposits fell by €500mn in January to €160.97bn from €161.45bn in December, due to seasonal factors, as Greeks meet their tax liabilities at the beginning of the year, after rising for four consecutive months (BoG).
• Cypriot Banks: The ECB Executive Board Member Mr. Benoit Coeure said that depositors in Cypriot banks should not be forced to pay for a euro-zone bailout of the indebted country. Mr. Coeure added that there needs to be appropriate burden-sharing in the program to achieve debt sustainability, leaving open the possibility that deposits above the EU-guaranteed threshold of €100mncould be a part of the solution, but argued against a board bail-in. At the same time, the Cypriot bank deposits fell by €1.7bn in January to €68.4bn from €70.2bn in December.

Technical

FTSE 25 March future:

Support levels: 328-320-314. Resistance levels: 340-346-352.

General Index:

Support levels: 970-960-950. Resistance levels: 1,014-1,030-1,050.

GREEK FINANCIAL MARKET

The General Index in Athens Stock Exchange (ASE) closed at 991.56 posting losses of 0.38%, in a turnover of €65.02mn, despite the major declines of the European markets after the inconclusive Italian election.

Corporate Impacts

• Cypriot Banks:The President Mr. Nikos Anastasiades appointed the the Nobel economics laureate Mr. Christopher Pissarides to head the country’s newly formed economic policy council. Meanwhile, the Finance Minister Mr. Michalis Sarris will travel to Brussels on Saturday to consult with various EU officials ahead of the Eurogroup on March 4.
• Fourlis: It posted €11.3mn losses vs. net profit of €2.3mn in 2011, hurt by austerity-driven consumption slump. The sales reduced by 3.6% to €420.3mn, while EBITDA was at €20.1mn vs. €28mn in 2011.
• NBG: Today, the new shares of the bank are to start trading, after the deal with Eurobank.

Technical

FTSE 25 March future:

Support levels: 326-318-312. Resistance levels: 338-344-350.

General Index:

Support levels: 970-960-950. Resistance levels: 1,014-1,030-1,050.

GREEK FINANCIAL MARKET

The General Index in Athens Stock Exchange (ASE) closed at 995.37 posting losses of 0.79%, in a turnover of €46.88mn.

The head of the BoG Mr. George Provopoulos said that the Greek government must step up structural reforms if it is to guarantee economic recovery, adding that he expects the recession to slow progressively and the first positive growth rates of GDP in 2014. Moreover, he called for fewer and stronger banks, adding that a further return of deposits and successful completion of a recapitalization plan will help the banking system to return gradually to the international capital markets.

The trade balance deficit fell by 17.2% last year on the back of a reduction in imports and increase in exports (ELSTAT).

Corporate Impacts

• OTE:The stock will probably be added to Eurostoxx 600, after the today rebalancing of the index.
• Fourlis:Sweden’s IKEA recalled a batch of meatballs distributed to 13 European countries among Greece and Cyprus after Czech food inspectors found traces of horsemeat in the Products.

Technical

FTSE 25 March future:

Support levels: 326-318-312. Resistance levels: 338-344-350.

General Index:

Support levels: 990-970-960. Resistance levels: 1,014-1,030-1,050

GREEK FINANCIAL MARKET

The General Index in Athens Stock Exchange (ASE) closed at 1,003.32 posting profits of 0.70%, in a turnover of €69.88mn.

The Finance Ministry said that the Euro Working Group decided for the disbursement of the €2.8bn tranche of rescue funding for Greece, as the chief prior action demanded for the approval of the February tranche was the updating of the revised Medium-Term Fiscal Strategy for 2013 to 2016 which was approved this week.

The troika is due in Greece today in order to review the government’s progress in implementing reforms promised in exchange for continued rescue loans.

The European Commission, in its winter economic forecast sees the Greek economy contracting by 4.4% in 2013 and unemployment rising to 27%, with the public deficit reaching at 4.6% of GDP. It also expects to see the Greek economy recover in 2014, when it is forecast to grow by 0.6%, while the public deficit is projected to drop to 3.5% of GDP. The current account deficit is expected to decrease from 7.7% of GDP in 2012 to 4.3% in 2013 and 3.3% in 2014.

Corporate Impacts

• Cypriot Banks:The Conservative Mr. Nicos Anastasiades got 57.48% and elected President of the Republic of Cyprus, beating the leftist Mr. Stavros Malas who collected 42.52% of the vote. At the same time, the EU Economic and Monetary Affairs Commissioner Mr. Olli Rehn said that the EU needs to safeguard financial stability as it designs a rescue package for Cyprus and its banks, adding that the EC is not in favor of haircuts, referring to imposing losses on creditors. In other news, the banking system of Cyprus will need up to €9bn billion as part of an EU bailout to save the island from bankruptcy (CNA news).
• Eurobank:After the acquisition of shares by NBG, the Eurobank shares will be deleted from the General Index on Wednesday.

Technical

FTSE 25 March future:

Support levels: 330-324-318. Resistance levels: 342-350-355.

General Index:

Support levels: 992-970-960. Resistance levels: 1,016-1,030-1,050.

GREEK FINANCIAL MARKET

The General Index in Athens Stock Exchange (ASE) closed at 996.30 posting heavy losses of 4.15%, in a low turnover of €84.17mn.

The ECB said that it made €555mn last year from Greek sovereign bonds acquired under its first bond-buy plan, a sum that suggests billions in profits from the program that could be passed on to Greece.

Corporate Impacts

• Cypriot Banks:The head of the euro zone’s bailout fund Mr. Klaus Regling said that Cyprus’s debt crisis risks spreading to other euro zone countries, urging a rapid decision on aid for the country. In other news, the front-runner to be Cyprus’s next president Mr. Nicos Anastasiades said that reaching agreement with Russia on its participation in a financial rescue for Cyprus will be his first and immediate priority if he wins on Sunday.
• Piraeus Bank:The bank is aiming to have a deal with Millennium Bank completed today, with the terms of the agreement to be published immediately. According to sources, Piraeus Bank will receive additional funds of €270mn as a part of the transaction, while the Portuguese shareholders will provide the €400mn required for the Millennium’s recapitalization as determined by the Bank of Greece.

Technical

FTSE 25 March future:

Support levels: 330-324-318. Resistance levels: 342-350-355.

General Index:

Support levels: 992-970-960. Resistance levels: 1,018-1,030-1,050.