The shock results from Greece’s referendum on Sunday sent markets into a tailspin during Asian trade on Monday, with U.S. crude suffering the biggest declines.
Athens has denied that the ‘no’ vote could lead to an exit from the euro zone, but experts remain unconvinced. The increased probability of a ‘Grexit’ has moved above 50 percent for the first time and that could see a risk-off mood prevail, according to ING.
Wolfgang Piccoli, managing director at Teneo Intelligence, told CNBC in Athens that the likelihood of a Grexit stood at 75 percent, from 15 percent previously. “We’re running short of time. We have bank flows, capital controls, the Prime Minister stronger than ever who will go to Brussels asking for more concessions….meanwhile, the other side thinks he has zero credibility, even less now that he won the referendum.”