Greek markets sell-off as debt crisis talks collapse

European markets have been led lower as Greek officials and the country's creditors failed to find agreement after a second day of negotiations

Greek stocks markets took another tumble on Tuesday morning, as fears mounted that a compromise between Greece and its creditors might not be found.

Companies listed on the Athens Stock Exchange fell by more than 3.3pc in early trading, after a second Eurogroup meeting on Greece was cut short.

The fears also led European stocks lower generally, with the Stoxx 600 down some 0.6pc lower and the UK’s FTSE 100 losing more than 0.3pc.

European finance ministers failed to find agreement during emergency talks held in Brussels.

Yanis Varoufakis, Greece's finance minister, slammed one statement drafted during the proceedings as "absurd and unacceptable".

George Saravelos, of Deutsche Bank, said: “The atmosphere remains tense.” A Greek request for an extension of its bailout programme needs to be granted before the current one expires on February 28.

“Such a request needs to materialise by the end of the week, to give time to six national parliaments - inclusive of the Netherlands, Germany, and Finland - to pass this extension through into legislation,” Mr Saravelos said.

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The yields on Greek government 10-year bonds rose back above 10pc on Tuesday as fears of a potential haircut for the country’s creditors, or even a failure to pay its debts at all, escalated.

Deutsche has produced a fresh timetable of events for Greece, with a speech from Alexis Tsipras, the country’s Prime Minister, the next item on the agenda.

Greek debt crisis timetable

• February 16 – Eurogroup
• February 17 – Alexis Tsipras speaks to his parliamentary group at 2pm London time
• February 18 – Voting for new Greek President begins
• February 18 – Bi-weekly emergency liquidity assistance review
• February 20 – potential Emergency Eurogroup to discuss Greece and end of deadline to apply for program extension
• February 24 – €595m of bond interest/principal due
• February 28 – Current EFSF program expires
• March 6 – €297m IMF repayment due, €1.2bn t-bill matures
• March 13 – €334m IMF repayment due, €1.6bn t-bill matures
• March 16 – €556m IMF repayment due
• March 20 – €334m IMF repayment due, €111m bond interest/principal due, €1.6bn t-bill matures