Greece’s “no” on the occasion of the referendum about the Troika’s plan has started an upheaval of which one can’t completely assess the political and financial consequences yet. If the financial markets had largely anticipated the outcome of the vote, just losing between an average 1.5 to 2% the following day, this could be the calm before the storm. The simultaneous fall in Chinese financial markets and oil prices is an aggravating circumstance that increases doubt, usually a main source of volatility.
Moreover, investors cannot expect much help from those many “analysts” who apparently merged their personal wish with the affirmation they’ve repeated for weeks and according to which an agreement would be necessarily reached in extremis between Greece and its creditors. In the end, not only none agreement was reached but the situation has become substantially worse than before the referendum.
Evidence lies in the somehow forced haste of governments’ officials in their all-new assertion that says the Greek “no” is finally not so bad – except for Greece, now almost doomed to hell – after having sounded the alarm by emphatically saying over and over again that a Greek “no” would be a catastrophe for the euro area as much as for the building of Europe. If there’s a leap in the dark, it is noticeable that it doesn’t only concern Greece since all those officials who are affirming that every other countries – but Greece – will escape now lack a bit of credibility.