Markets fall as concerns over Greece and eurozone return
Posted March 6, 2012 6:55 pm.
This article is more than 5 years old.
TORONTO, Ont. – Just when it appeared that Greece had been saved, new concerns, combined with signs of a recession in the eurozone, are pummelling the markets.
It was a 225 point tumble for the TSX, it’s biggest drop so far in 2012.
The Dow fell 203 points.
It was as Greek default fears, once again emerged.
The issue was regarding private holders of Greek debt. They have until Wednesday night to accept a bond swap in which they would lose close to three-quarters of the value of their bonds.
The problem is that if not enough participate, Greece could default.
Also prompting traders to hit the sell button was signs of slower growth in places like Brazil, China and the European Union.
Money flowed out of stocks, commodities and into the U.S. dollar and U.S. government bonds. The Canadian dollar finished its day below par.
