BUSINESS

ATHEX: Report weighs on local stocks

TAGS: Stocks

Greek stocks took a dive on Thursday, led by the credit sector, after a Bloomberg report suggested that banks will have to be even more aggressive in the reduction of their bad-loan backlog.

The Athens Exchange (ATHEX) general index closed at 746.45 points, shedding 1.46 percent from Wednesday’s 757.49 points. The large-cap FTSE-26 index contracted 1.67 percent to close at 1,969.24 points.

The report on Greek banks said they will have to reduce their bad-loan exposure by 15 billion euros in 2018 and another 16.6 billion in 2019. This raises the prospect of new provisions and therefore a fresh capital injection for lenders. Consequently the banks index slid 3.68 percent on Thursday, with Alpha giving up 4.60 percent and Eurobank surrendering 3.98 percent.

In total 24 stocks posted gains, 75 recorded losses and 20 stayed unchanged.

Turnover was the highest of the week so far, amounting to 47 million euros, up from Wednesday’s 39.2 million.

In Nicosia the general index of the Cyprus Stock Exchange declined 0.44 percent to 73.93 points.

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