European shares dip in choppy trade after Greek debt talks break down

martes 17 de febrero de 2015 07:02 GYT
 

* FTSEurofirst falls 0.2 pct
    * Greek shares volatile; traders upbeat on chances of a deal
    * Telecoms hindered by Orange, Telefonica
    * Danish jewellery maker Pandora surges after earnings beat

 (Recasts, adds detail)
    By Alistair Smout
    LONDON, Feb 17 (Reuters) - Athens stocks fell in choppy
trade on Tuesday to hinder European shares after debt talks
between Greece and euro zone finance ministers broke down,
putting the country's future in the euro zone at risk.
    The main Athens index fell as much as 4.7 percent
following the open. It then recovered the lost ground only to
drop once more, leaving it 2.5 percent down by 1100 GMT. 
    After the market close on Monday, Greece rejected a proposal
for a six-month extension of its international bailout package
as "unacceptable", setting it at odds with its creditors.
 
    However, Greece said it was "cautiously optimistic" a deal
would be found, and traders said that the market was pricing in
the prospect of a last minute deal. 
    "I'm certain that a deal will be done. It's in no one's
interests for Greece to leave the euro," said Joe Rundle, trader
at ETX Capital.
    Greek banks dropped 9.3 percent early in the
session, but recovered slightly and were down 4.6 percent at
1100 GMT. Euro zone banks, which have a large exposure
to the region's sovereign debt market, rallied off lows to be up
0.2 percent.
    In all, the Euro STOXX 50 was down 0.7 percent, while the
pan-European FTSEurofirst 300 index was down 0.2
percent at 1,499.41 points.
    Telecoms came under pressure, led lower by France's
Orange, which had hit a four-year high hit in the
previous session.
    It slid 3.2 percent after predicting operating profit would
fall slightly this year amid continued tough competition in its
key home market of France. It pledged to hold the line on costs
to be able to deliver a stable dividend. 
    Sector peer Telefonica fell 1.4 percent after it
said it would change the exchange rate it will use in Venezuela,
adding that the shift would hit earnings. 
    Danish jewellery maker and retailer Pandora 
surged 16.6 percent after it reported fourth-quarter operating
profit above expectations, and said its profit margin will rise
in 2015. 
    
    Europe bourses in 2015: link.reuters.com/pap87v
    Asset performance in 2015: link.reuters.com/gap87v
    Today's European research round-up 
    
    


($1 = 0.8817 euros)


($1 = 0.8786 euros)

 (Editing by Crispian Balmer)