U.S., global markets fall modestly after Greek referendum

NEW YORK, July 6 (UPI) — Wall Street stocks dipped on Monday, following a global trend in reaction to Greece’s referendum rejecting international creditors’ demands.

The Standard & Poors 500 fell by 0.6 percent, the Dow Jones industrial average dipped by 0.7 percent and the Nasdaq fell by 0.7 percent.

Although global markets were negatively affected by the Greek referendum, the impact was less than expected — mitigated by Greece’s Minister of Finance Yanis Varoufakis resigning and the upcoming restart of negotiations between Greece and its creditors: European Commission, the International Monetary Fund and the European Central Bank.

The fears of Greece exiting the Eurozone economic bloc will continue to affect the markets until a deal is reached.

“There’s been no panic of any kind,” Paul Hickey, co-founder of Bespoke Investment Group told clients, according to USA Today. “The market remains faithful that the European Central Bank and other European institutions have done an adequate job firewalling the eurozone against Greece.”

The German DAX index was 1.5 percent lower, France’s CAC 40 was 1.9 percent lower and Britain’s FTSE 100 was 0.6 percent lower following the referendum.

In Asia, Japan’s Nikkei 225 index closed down 2.1 percent and the MSCI index of Asia Pacific markets excluding Japan fell by 2.8 percent, its biggest daily decline since 2013, according to The Washington Post.