The banks put the Stock Exchange on technical adventures

of Alexandra Tombra

Bank shares went into new downturn today on the Athens Stock Exchange, which after the speech of the head of the ECB Kr. Lagarde received a strong sales wave.

In particular, the general index closed with a fall of 0.80% to 886.64 points, while today it moved between 897.91 points (+ 0.46%) and 885.28 points (-0.96%). The turnover amounted to 59.58 million euros and the volume to 15.84 million units, while 1.61 million units were traded through pre-agreed transactions.

The index of high capitalization closed with a fall of 1.01%, at 2,140.66 points, while at -0.88% the Mid Cap completed the transactions at 1,387.07 points. The banking index closed with losses of 2.15% at 588.52 points.

The banking sector may have garnered the most positive reviews from analysts, but it is also the one that is showing the most volatile course. And this course affects the whole market, which has now lost again the levels of the exponential average of 200 days entering new technical adventures.

At the same time, the market seemed to be clearly awaiting the decision of the European Central Bank, which announced the closure of bond markets on July 1. This decision now paves the way for the first increase in interest rates in over 10 years at its next meeting, also in July.

The ECB announced the increase by 25 basis points in July, while it is not ruled out that it will follow more than 0.25% in September, depending on inflationary conditions.

The ECB will try with its first interventions to put an end to the continuous increase of consumer prices. After all, even in Greece, inflation reached 11.3% in May, gnawing a significant part of income. At the same time, it is expected to give a significant boost to interest rates on banks, improving the outlook for the industry.

Beyond the above, however, the fear of a possible halt to growth momentum is here. There is also the fear of the US economy, as the Federal Reserve is ahead of the ECB in monetary tightening. Thus, the rate of tightening is the one that will judge the medium-long-term course of the ATHEX.

Of course, the ATHEX sees the Greek economy in a better position than others in the Eurozone, but despite its positive performance since the beginning of the year, it is unable to change level and move resolutely towards that of 1,000 points.

Especially when even the 900 units show a level that has now haunted many portfolios that bet on the great recovery of the Greek economy after more than ten years of crisis.

On the board

On the board now, Alpha Bank, Eurobank, ELHA and PPC closed with losses that exceeded 2%, while over 1% was the fall in Piraeus, Sarantis, Ethniki, GEK Terna and Viohalko. OPAP, OTE, Aegean, Titan, Coca Cola, Motor Oil, Jumbo and Hellenic Petroleum closed slightly lower.

On the other hand, Quest closed with an increase of 3.10%, with EYDAP and Lambda following with + 1.66% and + 1.37% respectively. Ellactor, Terna Energy, PPA and Mytilineos closed slightly higher. IPTO closed without change.