Asian Markets Rally After Greek Election Results
(NEW YORK) — Asian markets rallied Monday morning after voters in Greece narrowly backed pro-bailout parties in the country’s weekend election.
The New Democracy party squeaked by the leftist Syriza bloc in Sunday’s historic vote, 29.5 percent to 27.1 percent. The result makes it less likely that Greece will soon make a disorderly exit out of the single currency euro zone.
In response, Australia’s S&P/ASX 200 soared 1.96 percent, South Korea’s Kospi jumped 1.81 percent, Japan’s Nikkei rose 1.77 percent, and Taiwan’s Taiex climbed 1.76 percent. Hong Kong’s Hang Seng shot up by 1.01 percent and China’s Shanghai Composite gained 0.40 percent.
Still, the news in Greece wasn’t enough to boost markets elsewhere. Yields on 10-year Spanish bonds moved above 7 percent Monday morning, adding to fears that Spain might be the next euro zone country to need a full bailout.
As a result, U.S. stock futures were mostly lower ahead of Monday’s opening bell. Over in Europe, stocks dropped, losing gains they had made earlier in the day.
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