He welcomes explosive growth Athens Stock Exchange her clear victory New Republic V electionsas political uncertainty recedes and international analysts now believe the country is unlikely to be inclined to deviate from current fiscal discipline.

The overall index registers an increase of 5.5% to 1200.64 points, and the value of transactions exceeds 60 million euros. The banking index added more than 10%. The last time the market was at 1,200 points was in the session on July 28, 2014 (1,213.31 points).

All large-cap stocks are moving up, with Eurobank (+15.72%), Alfa Bank (+12.67%), KPP (+10.43%), Piraeus (+10.30%) and National (+10.30%). +9.70%).

At the same time, Greece’s government bond prices are rising today as investors evaluate the results of the general election and now believe that the country is unlikely to deviate from the current fiscal discipline. Earlier, Greek 10-year government bond yields fell 11 basis points to 3.948%, while German bond spreads fell 4 basis points to 146.

analyst estimates

Analysts at AXIA note that the Greek market continues to trade at favorable multiples relative to other markets, while some stocks are listed that would be more favored by political clarity (PPC, HelleniQ Energy and National Bank). In addition, the continuation of procedures initiated before the elections will benefit companies in the construction and infrastructure sectors, as well as EYDAP.

Eurobank Securities expects a sharp revaluation of Greek assets after, as it points out, the last hurdle, which was the elections, is overcome. According to stock market analysts, the comfortable independence of the New Democracy after the second election, from the point of view of the markets, is the best possible scenario for policy continuity, reform and financial prudence. At the same time, this leaves room for an upgrade of the country’s credit rating earlier than the market expected, with the next catalyst being the June 9 Fitch review.

In addition, Alevizos Alevizakos, General Manager of Axia Ventures Investment Services Group, estimated that Greek investment will show a big jump with good transaction volumes in the next period. He notes that the election results support Greek assets in both the short and long term.

International analysts said, according to Reuters, that given bailouts from the EU and today’s low cost of debt servicing, the Greek government could cut its debt-to-GDP ratio significantly, which is critical to recovering investment grade. They also noted that Greece has already reached a primary surplus in 2022, and the European Central Bank’s rate hike cycle has less of an impact on the Greek economy.