ASE tumbles, spooked by politics

The Athens Stock Exchange was rocked by political developments Friday, with both the prime minister’s secretary (and nephew) and the director of the National Intelligence Agency resigning over a case of spyware used to snoop on a journalist and, likely, on socialist leader Nikos Androulakis. Both deny any direct involvement.

Analysts point out that what gets investors antsy is the prospect of early elections, adding that the recent stock market rally coincided with Prime Minister Kyriakos Mitsotakis’ strong statement that the election will take place close to the end of the government’s four-year term, in July 2023.

The general index dropped 2.11% to close at 849.23 points on turnover of 55.93 million euros. Blue chips dropped 2.46% and mid-caps 1.02%, while banks, which had driven the latest rally, lost 3.46%.