Authorities struggling to contain Greek market crisis

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The relatively small economy of Greece impacts the whole world on Friday as investors worried about the possibility of other European countries facing a debt crisis similar.The ministers of the G7 group of seven major world economies, have said they will discuss the Greek situation on Friday after Federal Reserve officials express concern and the White House say that President Obama is watching developments closely.

Leaders of the euro area also will meet this Friday at a special cupola, while the German parliament today approved the aid package offered to Greece.

The Asian stock markets closed the day in the fall, reflecting the loss of nearly a thousand points of the Dow Jones the day before, in a move reminiscent of the chaos in the markets generated during the recent global credit crisis.

“The debt crisis of Greek investors is remembering what happened after the collapse of Lehman Brothers,” said Kazuhiro Takahashi, manager at Daiwa Securities Capital Markets. “The failure of a single financial institution blowing out a ripple effect on the global economy.”

The fall of the Euro

The euro was operating almost stable in Asia, just below $ 1.27. The index of shares in the Asia Pacific region excluding Japan fell 2.4%, the biggest drop in three months. The Tokyo Stock Exchange plummeted 3.1%.

In Europe, the index of leading exchanges in the region shrank 1.5%. The region’s stock index lost 1.82% in the morning. The MSCI index of global equities operated low of 0.91%.

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