OpenCalais Metadata: Ticker
The local benchmark got off to a promising start on Tuesday but early healthy gains were reined in by the end of the session, as bank stocks slid into the red while non-banking blue chips remained on a rising course. Trading volume showed an encouraging increase following the Greek bourses third consecutive northbound session.
By Evgenia Tzortzi
The newly formed Institution for Growth in Greece (IfG) development fund is next week set to sign contracts up to the amount of 200 million euros with three of the countrys four systemic lenders to begin refinancing loans to small and medium-sized enterprises (SMEs). Sources say that these banks are National, Eurobank and Piraeus.
The summer mood appears to have set in among investors, as they seem particularly reluctant to take positions in the local stock market on days with little economic or business activity, as was the case on Monday.
The Athens Exchange (ATHEX) general index closed at 1,242.82 points, shedding just 0.08 percent from Fridays 1,243.80 points.
By Yiannis Papadoyiannis
One after another, 13 foreign credit institutions and investment firms have announced their predictions for a rise in the share prices of Greeces systemic banks that averages out at 18 percent above the current levels, reflecting their strong expectations for the country and foreign investors ever-growing willingness to expose themselves to Greek risk.
The benchmark of the Athens bourse chalked up its third day of gains on Wednesday, taking its total growth registered since Monday morning to 4.71 percent, as international reports continue to praise local banks, sending their stocks higher. Curiously, the foreign portfolios now buying into Greek lenders are the very same that last week inflicted losses on bank stocks and the benchmark.
Favorable reports on the local credit sector published on Tuesday by Morgan Stanley and Goldman Sachs propelled local stocks to a healthy rebound at the start of the years second half.
The Athens Exchange (ATHEX) general index closed at 1,228.85 points, adding 1.20 percent to Mondays 1,214.31 points. The blue chip FTSE/ATHEX 25 expanded 1.14 percent to close at 396.52 points.
Fitch Ratings has upgraded the state-guaranteed long-term senior debt rating of National Bank of Greece (NBG, B-/Stable), Alpha Bank (Alpha, B-/Stable) and Eurobank Ergasias (Eurobank, B-/Stable) to 'B' from 'B-'.
The rating actions follow the upgrade of Greece's sovereign Long-Term foreign currency Issuer Default Rating (IDR). [Reuters]
By Evgenia Tzortzi
Eurobanks 500-million-euro four-year bond issued on Thursday was more than twice oversubscribed as orders totaled 1.1 billion euros at an interest rate of 4.25 percent. This completes the set of all four Greek systemic banks to have successfully issued bonds as the Greek economy reverts to normality.