Its upward movement seems to have entered a “shack” in the last period of time Stock Exchange of Athenswith General Index testing the strength of 1,400 units -for the first time since April 19.
It is characteristic that in June the losses of the main index are placed on 52 units (from 1,458 to 1,406 units), while if we consider the previous month (ie from this year’s high of 1,502 units), the corresponding drop is almost 100 units or otherwise about 6.5%.
Where is the market stuck?
The result of the recent Euro-elections undoubtedly played a role in this small performance, as the Greek market found it noticeably difficult to stand and differentiate itself from the nervous behavior. – and possibly continue to behave – throughout Europe.
“AA is not completely unaffected by the anxiety caused by the results of the European elections and the political developments that are already underway” commented the analyst attitude. Petros Steriotis.
It is clear that the danger of political instability has returned to the Old Continent. THE Francethe second strongest economy in the region, will go to the mid-summer polls and before the Paris Olympics, with the scenario of forming a government with the participation of Marine Le Pen’s party more likely to look than before – in a more uncomfortable situation. for President Macron, who is called to find the antidote ahead of the 2025 presidential election.
At the same time, we have seen some investors take advantage of the opportunity to cash in on some of the strong gains in recent months, continuing to assimilation and the “digest» at recent multi-year highs.
And all this, while the market is entering a month where it is asked to absorb a large increase in the supply of shares from selected blue chips, such as melt and the Jumbo (putting the main shareholders for 5% and 3% of the share capital, respectively).
Because the supports are ongoing
On the other hand, the ongoing problematic picture, for now, does not raise much concern for the long-term trend, which remains strong. After all, the country, despite their trigs European electionsmaintains the key part of political stability, macroeconomic data continues to provide “injections” of optimism, while the Ministry of Finance’s initiation of early repayment of debts in the first memorandum lends more credibility to the government bond.
In addition to the above, most of the listed companies have announced completely satisfactory financial figures for the first quarter of 2024, which paves the way for more. higher dividend yield in the next period of time.
Let’s not forget the pregnant women business dealswhich will breathe new life into the available liquidity of the market, especially if the scenarios for a happy outcome of the thriller of the sale of the majority stake are confirmed Terna Energy.
Despite the -6.5% from a peak of 1,502 unitsso the General Index still shows a very satisfactory return of 9% in 2024, with the banks, which next month will “cut” the first dividends, showing almost double the return (+ 17 % at the beginning of the year).
At the same time, the low daily turnover (always below the average this year) can be a bit disappointing, but in volatile conditions like today, it is a positive sample, which proves that the sell button is pressed by a small number of investors. , not giving characteristics of the amount of liquidations.
D-DAY is on June 20
Considering all this, it is considered very critical to defend the General Index support of 1,400 units, which became a key ridge before the average of the last 200 days (1,336 points). In such a scenario, the appearance of an upward catalyst, in the form of a new deal or other optimistic development, could bring the short run back into positive territory.
At this point, it is worth noting that June 20 the market should be officially notified if the house MSCI show mercy to Greece and put the Stock Exchange under a monitoring regime (watch list) for a possible upgrade in developed markets in 12-24 months. This is one of the main goals of HEXA, which, if achieved, is sure to change the situation greatly – for the better, of course.
In a possible upward movement, then, the first point OPPOSITION met with 1,460 units, any collapse that paves the way for 1,485 – 1,502 units, which is the highest level in 2024 and in the last 13 years. This Friday, the restructuring of the indices will also take place FTSE and Russellwhich traditionally takes turnover.