Citigroup: Greece Debt Could Trigger 20% Correction
Marketwatch reports that Citigroup sees a 20% correction possible because of the financial crisis in Greece.
Citigroup got things off to a bearish start with a prediction that fears of sovereign debt contagion over Greece could trigger a near-term correction of up to 20%.
They said that while there have been financial crises with international implications in the recent past -- Northern Europe in 1992, Southeast Asia and South Korea in 1997 -- the Greek crisis is "graver than these were."
A 20% correction from the Dow's recent peak around 11,200 would be around 8,960. A 20% correction from today's close of 10,380 would be around 8,300.
