The Market Survived The Greek Referendum

The Greek referendum happened yesterday, the Greek people voted “No”, and yet so far the apocalyptic predictions about the result of that vote have not come true.

Global stock markets proved resilient on Monday despite Greece's shock rejection of the terms of an international bailout.

While US, European and Asian stock markets all fell, the market reaction was much more muted than analysts had expected.
In the US, the main indexes were all down about 0.3% by lunchtime, while London's FTSE 100 slipped 0.76% and Japan's Nikkei index fell more than 2%.
The euro also lost ground.
It slipped 0.4% against the dollar to $1.1071 and 0.6% against the pound to 70.9 pence.
Meanwhile, France's Cac 40 dropped 2% and Germany's Dax lost 1.5%.
"Markets have yet to be convinced in full either that the [Greek] exit door will be open or that the extent of any contagion from this could be irreparably damaging to the system," said Neil Williams, chief economist at Hermes Investment Management.
In early bond trading, the reaction was similarly soft. The interest rate on German bonds fell slightly as investors rushed into perceived safe haven assets, while yields on Italian, Spanish and Portuguese government debt ticked higher.
Greek bonds have not been traded on regulated platforms since last Monday,but indicative prices suggested the yield on two-year bonds would be 49.77%,with the yields on 10-year bonds at 17.4%.