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Greece: Stocks hammered, borrowing costs higher amid renewed uncertainty

ATHENS, Greece – Stocks have been hammered in Greece and borrowing costs continued to rise, amid renewed political uncertainty over the future of the country’s bailout program.

Shares on the Athens Stock Exchange closed 5.7 per cent lower Monday, falling below the 1,000-point mark to 948.21, while yields on Greece’s 10-year bonds hit 7 per cent after a months-long decline has driven the rate below 6 per cent in September.

The bad news for government plans to end its bailout program two years early, came amid reluctance by creditors to back the move and fears the ruling conservatives might have to call an early general election in February.

The government needs opposition votes in parliament to elect a new president, and was trailing the anti-bailout Syriza party by 6.5 points in a survey published late Monday.