A lightly traded ETF indexed to Greek stocks fell to a fresh low Tuesday on worries the troubled country will be forced to leave the Eurozone amid political uncertainty after voters rejected austerity measures.
Global X FTSE Greece 20 ETF (NYSEArca: GREK) was down 6% in morning trade. The ETF was launched in late 2011. [Global X Lists Greece ETF]
The fund is down over 30% the past three months.
Global markets were unsettled Tuesday after Alexis Tsipras, leader of the leftist coalition in Greece, said he wants to reject the international bailout.
“European political risk remains center stage for financial markets,” said Citigroup analyst Adrian Cattley in a Bloomberg report. Greece’s election result “suggests no quick path to a new stable government and could raise probability of contagion risks.”