The euro skidded to an 11-year low and stock prices fell on Monday as Greece’s Syriza party promised to roll back austerity measures after sweeping to victory in a snap election, putting Athens on a collision course with international lenders.
The euro fell to an 11-year low of $1.1098 on the vote outcome before recovering to $1.1186, still down 0.2 percent from last week.
The election was the second blow since last week for the euro, still smarting after the European Central Bank unveiled a huge bond-buying stimulus programme.
European shares are expected to take a beating, with spreadbetters seeing a fall of 1.0-1.1 percent in Germany’s DAX and other core countries. Southern European countries could see a fall of almost 2 percent.
As concerns grew that the Greek election results could lead to renewed instability in Europe, U.S. stock futures fell 0.5 percent in Asia. Japan’s Nikkei closed down 0.3 percent, and MSCI’s broadest index of Asia-Pacific shares outside Japan was also off 0.3 percent