The risk of early parliamentary elections in Greece, possibly as soon as January following Prime Minister Samaras’s decision to dash for an early presidential election, has sent a shockwave through the stockmarket.<br /><br /> It had its worst day since 1987, seeing 10.5% wiped off share values as investors ran to sell out.<br /><br /> “If you have an international investor in the country you are exposed to, and it’s going into elections, or there is a possibility that the country will go into elections and you don’t know the final outcome, then the easiest decision you can make is just to sell and get out,” said a financial analyst at Attica Wealth Management, Theodore Krintas.<br /><br /> Ten-year bond yields rose half a percent on the news, which carries the risk that parliament will not agree on a new Head of State, and this would trigger an election at a time the leftwing Syriza opposition is riding high in the polls. A Syriza government would likely renegotiate much of Greece’s imposed austerity package.
