Greeks angered by a vicious and protracted financial crisis punished the parties that have dominated politics for decades Sunday, with projected election results showing them hemorrhaging support to anti-bailout groups and no party gaining enough ballots to form a government.
Last week in “Portugal’s Left Wing Forces Threaten Troika Revolt,” we highlighted the country’s Socialist Party which is enjoying a lead in the polls ahead of elections expected in October and which has pledged to implement a “reverse policy” as it relates to austerity and the country’s creditors. We argued that the ascendancy of left-wing political parties across the periphery means Europe will take an increasingly hard-line stance in negotiations with Greece. Here’s how put it:
As late as yesterday I read numerous mainstream media reports that Syriza would win by three to five percent and would need to form an unstable coalition to rule.In contrast, here was my January 19 prediction (and rationale): Expect a Blowout Win by Syriza in Greece.Syriza Trounces New Democracy The final votes are not counted, but exit polls show a blowout, with incumbent party New Democracy going down in flames.
Alexis Tsipras’s Syriza party defeated Prime Minister Antonis Samaras’s New Democracy to place first in Greek elections, exit polls showed, after a backlash against years of budget cuts demanded by international creditors.