First election results indicate that the New Democracy (ND) party and Pasok party, together can achieve the majority in the Greek parliament. Still, Greek politics are unpredictable so I advise you to wait until an official announcement is made.
If this scenario holds, those are good news for Europe and for the stock market. However, it is probable that the instability will continue in the following weeks. The problems in Spain are another current focus, and those are far from over. Therefore as I said in “European Jewels” if you want to invest right now you might get great prices, but it is wise not to commit too much money right now. Wait and see might be the best strategy for the following days.
Summing up: I feel a bit optimistic, perhaps this might be the start of a good week in the markets.
2 thoughts on “Greek Armagedon”
All of this noise just shows how disfunctional (not to say stupid) is the market presently. How can investors be dependent on the outcome of greek elections? Really? Is this the rationale for their investment ideas? Is just me, or Greece is a story that is part of the past? To me last weekend elections were a non event. Rational investors long left all of their assets related with Greece.
I agree with you on the fact that Greek assets do not matter anymore. What matters is the impact that the election outcome might have on other Euro countries. Specifically what effect this might have on Spain risk.