Greece may call snap election to break impasse

Greece delayed repayment of an IMF loan yesterday and a deputy minister said Athens might call snap elections to break an impasse with lenders that threatens to push the country into bankruptcy and out of the euro.

European stocks fell and Greek bond yields shot higher as investors worried that months of bitter negotiations between Greece and its international creditors might yet end in failure.

Raising the stakes in the talks, Greece decided to postpone payment of the €300m loan — a highly unusual step, but one that does not yet signal a formal default.