- Title: GERMANY: Germany's Dax falls on Greek unease
- Date: 15th May 2012
- Summary: FRANKFURT, GERMANY (MAY 14, 2012) (REUTERS) WIDE OF TRADING BOARD CLOSE OF TRADING BOARD TRADERS CLOSE OF DAX GRAPH TRADING FLOOR CLOSE OF TRADER WORKING MORE OF TRADING BOARD MORE OF TRADERS (SOUNDBITE) (English) TRADER AT BAADER BANK, ROBERT HALVER, SAYING: "It's all politics right now and the German equities are suffering, because we have no clear picture considering a Greek policy, a French policy, an European policy." TRADING BOARD (SOUNDBITE) (English) TRADER AT BAADER BANK, ROBERT HALVER, SAYING: "There is not only one solution for the Greek, they have to go out, because they are facing a political and an economic problem and nobody on earth can solve this problem." HALVER SHOWN IN VIEWFINDER OF CAMERA WIDE OF TRADING BOARD TRADERS WIDE OF TRADING FLOOR
- Embargoed: 30th May 2012 13:00
- Location: Germany
- Country: Germany
- Topics: International Relations,Economy,Politics
- Reuters ID: LVA3KYJ2ZDTJWAYLDXPYB0JGFUV7
- Aspect Ratio:
- Story Text: Germany's DAX fell on Monday (May 14) as the increasing likelihood of a new election in Greece worsened the sense of crisis in the euro zone and China's latest move to loosen monetary policy only added to investor risk aversion. The DAX lost 1,2 points to 6499 at the market opening in Frankfurt.
The refusal of a major leftist party to join a new Greek government has brought the prospect of its exit from the euro a step closer. The region's finance ministers, gathering in Brussels, also face a worsening fiscal position in Spain.
Adding to the negative tone for the higher risk sector, German Chancellor Angela Merkel's conservatives suffered a crushing defeat on Sunday in an election in Germany's most populous state.
"It's all politics right now and the German equities are suffering, because we have no clear picture considering a Greek policy, a French policy, an European policy," trader at Baader bank Robert Halver told Reuters TV in Frankfurt. "There is no single way to solve the problems in Greece. 'Let my people go.' Absolutely clear is that if you face a political and economic problem, you cannot have a Greek country, there is not only one solution for the Greek, they have to go out, because they are facing a political and an economic problem and nobody on earth can solve this problem," he added.
Safe haven German bonds and the U.S. dollar gained from the drive for safety with the June German Bund future setting a record high of 143.17, up 40 ticks, in early trade.
The dollar rose 0.2 percent against a basket of major currencies to 80.45, helping send the euro to its lowest in nearly four months at $1.2878.
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