Greek fears weigh on FTSE

The FTSE is struggling to stay in positive territory as Greek fears dominate European traders' thinking.  

London Stock Exchange
Source: Bloomberg

Today’s final round of voting in the Greek parliament has triggered a risk-off mentality in traders, after confirmation that Greece will have to hold elections in the early part of 2015. As a result Greek markets have sold off by over 10%. Greek prime minister Antonis Samaras had been hoping to secure at least 180 out of the 300 votes on offer for his candidate. 

Although this is a specific issue for Greece, it will raise fresh fears over the fate of the eurozone and the timelines for the possible implementation of a European version of quantitative easing. An escalation in the debate over austerity could arise in 2015, with the same old north-south divide on what is proportional still raging. 

BG Group appears to have finally had some good news to round off a disappointing 2014, as its $20 billion Curtis LNG project in Queensland Australia looks to wave off the first of its natural gas tankers bound for the Chinese markets. As most of the major equities suspend announcements over the festive period, it is up to Victoria Oil & Gas and President Energy to offer volatility, which are up by 14.5% and down 24.4% respectively. 

European wobbles have dented the US futures market regardless of the fact that last week's close in all the major indices was higher. Without an input from either corporate or economic data, US traders could well decide to take their lead from their European counterparts today. Ahead of the open we expect the Dow Jones to start 29 points lower at 18,024.

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