Portugal as Greece Prods ECB to Halt Contagion Buoying Bulls
This article is for subscribers only.
The growing prospect Portugal may follow Greece in needing more aid to skirt default may spur the European Central Bank to extend its response to the debt crisis, underpinning gains in the region’s stock market.
“Eurozone large-cap equities could rise 20 percent to 30 percent this year given the depressed starting point,” Michael Darda, chief economist at MKM Partners LLC in Stamford, Connecticut, wrote in a report to clients yesterday. Financial conditions have improved and “there is no reason that this cannot continue so long as the ECB continues to keep its foot on the accelerator,” he said.