The introduction of new shares of National Bank is beginning today (1,136,363,637 shares), characterized by two features.
Firstly, the so-called rebalancing, i.e. the rearrangement of the weighting in the FTSE, and secondly the expected completion of the closing of 4 million shares owed by any who have short sold. According to information, the increase in share posts by foreigners due to a rebalancing might already have been completed. The shares are technically oversold and if the scenario against the possibility of national elections continues to gain momentum, they may eventually be stabilized, despite the offer of securities, and gradually become one of the leaders of market recovery.
However, there is only a short time of six days remaining until European elections. The first political analysts’ estimates after election results state that the scenario of early national elections will be avoided.
According to market estimates, yesterday’s downward spiral took place due to foreign investors being forced to liquidate other securities in order to complete their placements in view of the rebalancing. If this is confirmed, it is another factor that may contribute to the stabilization and sustainability of market recovery.
The above estimates, however, are in contract with foreign investors, who, having lost 10% in Piraeus Bank, chose to sell rather than risk having their hands filled with a negative elections outcome.