Hans Humes, founder of Greylock Capital Management, said he spent the weekend contemplating whether Greek Prime Minister Alexis Tsipras is crazy or brilliant.
“I was whipsawing back and forth the whole weekend,” Humes said Monday in a Bloomberg Television interview. “It’s probably some combination of the two.”
Tsipras shocked markets and creditors last week by calling for a referendum on whether to accept more austerity as part of a financial bailout. After campaigning for a “no” vote, Greeks voted on Sunday with a larger-than-forecasted 61 percent against continued austerity.
“No question about it in the short term. Tsipras won,” said Humes, who added that he was surprised by the margin of victory. “There’s latitude for the Greeks to go back to the Europeans and present them with something that’s a little bit more palatable. Tsipras can sign something now.”
European finance ministers are waiting for a proposal to re-start bailout talks as banknotes within Greece become more scarce after a week of capital controls. German Chancellor Angela Merkel and French President Francois Hollande are due to meet other euro-region leaders tomorrow as the crisis escalates.
Former Greek Finance Minister Yanis Varoufakis quit this morning in a bid to strengthen Tsipras’s negotiating position with European creditors.
The resignation helped mute declines in the euro and European stocks. The euro pared losses after the statement and was down 0.4 percent to $1.1069 at 9:40 a.m. in London. The Stoxx Europe 600 Index fell 1.4 percent to 378.02 points, compared with a drop of as much as 3.2 percent a week ago, when Greece introduced the capital controls and closed banks.