U.S. Stock Futures Slide After Greece Rejects Austerity Plan

By Sara SjolinMarketWatch Pulse

U.S. stocks were poised to open sharply lower on Monday after Greeks overwhelmingly rejected the terms of a rescue package proposed by its international lenders. More than 61% of Greeks voted "no" in Sunday's referendum on austerity measures put forward by the International Monetary Fund and the eurozone as conditions for further bailout aid. Futures for the Dow Jones Industrial Average slid 117 points, or 0.7%, to 17,532, while those for the S&P 500 index shaved off 12.55 points, or 0.6%, to 2,056. Futures for the Nasdaq 100 index lost 32.35 points, or 0.7%, to 4,396.50. Stocks in Europe were also hit hard, with the Stoxx Europe 600 index off 0.9% at 380.11. "The outcome of the Greek referendum has significantly increased the risk of Greece leaving the eurozone, which is now by far the most likely outcome," said Erik Nielsen, global chief economist at UniCredit, in a note. "The process may start within days or weeks, but it won't be a smooth ride into a new currency. It'll be chaos with political ramifications," he added.

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