(MENAFN- Gulf Times) Eurozone stock markets closed down yesterday amid renewed doubts over whether Greece and its international creditors can quickly reach a deal needed by Athens to avoid a default and possible messy exit from the euro.
Frankfurt's DAX 30 ended the day down 0.62% at 11,471.26 points.
The CAC 40 in Paris fell 0.24% to 5,045.35 points, with telecoms stocks hammered after a buyout offer that would have consolidated the number of mobile operators in France from four to three was rejected.
Madrid's IBEX 35 ended down 0.82%, Milan's FTSE MIB closed 0.16% lower and in Greece the ATHEX Composite index finished with a 1.77% loss.
Outside the eurozone, London's benchmark FTSE 100 index of top companies ended up a slight 0.15% at 6,844.80 points.
The euro rose to $1.1185, from $1.1168 late on Tuesday in New York.
The jitters across European markets appeared driven by reports that the
International Monetary Fund was not prepared to accept some of the new proposals Greece presented on Monday, which relied more on tax hikes than the spending cuts and deep structural reforms that creditors have been seeking.
"IMF differences over the latest proposals from Athens dampened investor risk appetite that had been lifted by hopes of an imminent deal. Creditors then rejected the Greek proposals, adding to downside momentum in European stocks which is spreading across the pond," said Jasper Lawler, market analyst for CMC Markets.
Indeed, US stocks were mixed in mid-day trading after early losses echoed worries in Europe over possible Greek debt default.
Shortly before noon in New York, the Dow Jones Industrial Average was
down 0.32% at 18,086.23 points, and the tech-rich Nasdaq Composite Index fell 0.15% to 5,152.23.
The broad-based S&P 500 rose 0.06% to 2,124.20.
With the coming days packed with consultations between Greece and its creditors, markets are likely to face a heady week, said Rebecca O'Keeffe, head of investment at stockbroker Interactive Investor.
"Equity markets continue to put their faith in a potential deal for Greece... The next few days will prove pivotal," O'Keeffe said.
In France shares in telecoms companies fell after the board of French group Bouygues late on Tuesday unanimously rejected the buyout offer made for its network by rival group Altice.
Shares in Bouygues, the parent company of Bouygues Telecom, ended the day down 9.26% to 34.50 euros.
Meanwhile shares in Altice's French telecoms unit, Numericable-SFR plunged 9.36% to finish at ‚¬49.36.
Shares in market leader Orange fell by 3.31% to ‚¬14.455 and the stock in Iliad, parent company of low-cost operator Free, dropped by 8.52% to ‚¬208.75.
Meanwhile shares in Dutch retail giant Ahold and its Belgian rival Delhaize
fell yesterday after they officially announced their merger, creating one of
the world's largest retail companies with a turnover of more than ‚¬54bn
($61bn).
Ahold shares reversed early gains to end 3.69% lower in Amsterdam at ‚¬18.255, while shares in Delhaize finished down 7.66% to ‚¬81.29 in Brussels, a day after rising more than eight% on rumours of the deal.
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