U.S. Stock Futures Sharply Lower on Greece

U.S stock futures followed global stocks lower Monday after talks between Greece and its creditors to resolve the debt crisis broke down over the weekend, raising fears of a default.

Dow futures are down 201, S&P 500 futures are down 24.50 and Nasdaq futures are down 57.50.

Greek Prime Minister Alexis Tsipras announced that a referendum will be held on Sunday July 5th to ask whether to accept or decline the latest proposal submitted by the EU/ECB/IMF.

Adding to the turmoil, the ECB decided to maintain the ceiling to the provision of emergency liquidity assistance (ELA) to Greek banks at the level decided on Friday. The ECB stands ready to reconsider its decision. Mario Draghi, ECB President, said: "We continue to work closely with the Bank of Greece and we strongly endorse the commitment of Member States in pledging to take action to address the fragilities of euro area economies."

Greece shuttered its banks and imposed capital controls amid chaos. Daily cash withdrawals were limited to EUR60 and transfers abroad were banned. Banks will be closed until at least 6 July, the day after the Greek referendum vote, according to reports.

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