Monday, May 7, 2012

Markets Plunge After Europe Election Results



Greek stocks have plunged more than 7% in early trade after the weekend's election, as Asian markets also react badly to the poll results in Europe.

Francois Hollande's victory is likely to have a big impact on the eurozone, with the president-elect pledging to renegotiate the EU treaty on government debt.

In Greece, the ruling coalition was dealt a huge blow in parliamentary elections by voters who reject austerity measures - leaving the country's multi-billion pound eurozone bailout at risk.

In the Far East, there was heightened uncertainty over the outcomes amid concerns about Europe's ability to solve its debt crisis.

Japan's Nikkei 225 index plunged 2.7% after earlier hitting a three-month, intraday low amid a rising yen.

Hong Kong's Hang Seng slid 2.4%, Tokyo stocks closed down 2.79% and in Singapore, it was down by just under 2%. Read More