Greece’s new government came to power on a promise of a clean break with capitalist orthodoxy. Two days into the experiment, capital is making a pretty clean break with Greece instead.
The Athens stock market has fallen 11% since Alexis Tsipras‘ left-wing Syriza party won Sunday’s elections, and the yield on Greece’s three-year bonds has rocketed to 16.9% from an already-elevated level of 14% as investors take fright at the openly confrontational stance Tsipras has taken.
Bank stocks, in particular, have been routed, falling between 32%-40% since Sunday amid fears of widespread deposit runs even before Greece gets to a situation where …read more
Source: Time
