European stock markets up after Greek weekend poll showed support for conservative party
European markets have risen after a weekend poll in Greece showed growing support for a pro-austerity conservative party.
The survey suggested the New Democracy party could gain about a quarter of the votes, leaving it as the biggest party, albeit without overall control.
Elections are due to be held on 17 June.
London, Paris and Frankfurt stock markets all rose at least 1%.
Spain’s leading IBEX index was out of step with the rest of Europe, falling by 0.5%.
Spain’s Bankia, which late on Friday asked for an injection of 19 billion Euros ($24 billion) in state support, fell 27% as it resumed trading on Monday. Its shares had been suspended on Friday pending the funding request.
Meanwhile, bond markets continued to reflect the tensions in the eurozone with the difference between the premium investors demand to hold Spanish government bonds and that of their German counterparts, at a record high.
The spread between 10-year Spanish and German bonds rose to 5.05 percentage points after Spanish government bond yields rose to 6.43%.
Italian government bond yields also ticked higher, rising to 5.87%.
London’s FTSE 100 share index was up 1%, Frankfurt’s DAX up 1.2% and Paris’s CAC 40 was up by 1.1%.
Although both Germany and France have a public holiday on Monday, their equity markets remain open.
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