Bulls return after Fed cut bolsters outlook
In line with major European bourses, which all gained more than 2 percent after the US Federal Reserve’s decision to cut its basic rate by 50 basis points to 4.75 percent on Tuesday, Greek stocks were buoyed yesterday but failed to hold on to initial hefty gains. Firms in the financial services and industrial products and services sectors outperformed. Telecoms was the only sectoral index to head south, as OTE and Cosmote faltered. The benchmark Athens Exchange (ATHEX) general index closed 1.13 percent up at 4,978.57 points after rising as high as 5,029.07 points. The blue chip FTSE/ATHEX 20 index gained 1.10 percent, reaching 2,651.74 points, while the mid-cap and small-cap indices advanced 2.55 percent and 1.79 percent respectively. The FTSE/ATHEX International ended up 1.33 percent. Metallurgy firm Viohalco rebounded from recent losses, outperforming among blue chips with a 4.11 percent surge to -11.14. Construction company Hellenic Technodomiki continued climbing, adding 3.81 percent to reach -9.80, Hellenic Petroleum advanced 3.08 percent to -10.70 and Bank of Cyprus rose 2.84 percent to -12.30. Public Power Corporation rose to a new historic high of -24.50. Apart from OTE and Cosmote, Motor Oil was the only other blue chip to end in negative territory. Turnover soared to -634.59 million.
