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Although Greece's stock market had plunged more than 18 per cent by mid-session on Monday, some listings were attracting buyers at lower levels, suffering smaller losses than banks and the broader market.
Unlike the index heavyweight banks, which fell to the daily volatility limit of 30 per cent, shares of OTE Telecom , Aegean Airlines and refiner Motor Oil were outperforming the benchmark index with losses of between 11 to 17 per cent. "The market's dislocation can offer worthwhile buying opportunities on quality names," said analyst Nick Koskoletos at Athens-based Eurobank Equities. "We are seeing some early signs of buying on such listings."
On the gainers side, there was only one listing -- Kordellou a processor of iron and sheet steel products -- which was up 4.7 per cent. But only 10 shares in it had changed hands.
Jewellery retailer Folli Follie, which has a store network outside Greece, and metals group Mytilineos, an exporter of aluminium, were also trimming initial losses. "Non-financial companies will have a better performance than banks since their prospects are brighter and are less exposed to the domestic market," said Manos Chatzidakis, an analyst at Beta Securities.
OTE has secured debt financing up to 2018, while Mytilineos has about two thirds of its revenues coming from exports and a strong cash position. Folli's generates most of its operating profit abroad. "They can continue operating seamlessly despite the capital controls," Chatzidakis said.
Greece to extend stock short-selling ban
Greece will extend a short-selling ban on stocks that went into effect when capital controls were imposed on June 29 and expires on Monday, a source at the country's securities regulator told Reuters .
"There will be an extension of the full ban on short-selling," the official said, declining to be named. "A decision will be announced later on Monday."
Trading on the Athens bourse was suspended in late June as part of capital controls imposed to stem a debilitating outflow of euros that threatened to collapse Greece's banks and hurl the indebted country out of the euro zone.
The stock market will open for trade at 0730 GMT on Monday after a five week shutdown.
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