ECONOMY

Bank recap rumors inflict major losses on local bourse

Rumors of far-from-favorable recapitalization terms for local lenders resulted in the Greek bourse sustaining major losses on Monday, with banks taking their worst beating in the last 12 months. The refusal by Greece’s creditors to allow Greek banks to swap their state bonds with European Financial Stability Facility securities did not help either.

The Athens Exchange (ATHEX) general index ended at 819.61 points, shedding 6.28 percent from Friday?s 874.54 points. The blue chip FTSE/ATHEX 20 index declined by 8.34 percent to close at 302.96 points.

The banks sectoral index gave up 15.82 percent, with Piraeus shedding 18.60 percent and Cyprus Popular giving up 17.19 percent. All 20 blue chips suffered losses.

In total, just 15 stocks registered gains, 117 posted a decline and 25 remained unchanged.

Turnover came to 115.2 million euros, up from 47.8 million last Friday.