New paleomagnetic data of the entire Aegean outer-arc are presented. The results indicate a young Pleistocene and rapid clockwise rotation phase in the western Aegean arc, covering at least Zakynthos and the Peloponessos. The eastern Aegean arc, incorporating Kassos, Karpathos and Rhodos, also experienced Pleistocene anticlockwise rotations. The anisotropies of the magnetic susceptibility (AMS) data are in agreement with arc-parallel extension in the south and south-eastern Aegean arc and arc-normal compression in the north-west, in agreement with structural and geodetic observations. We compare the paleomagnetic results with the present-day pattern of rotation as computed from geodetic data, and we find good agreement. The onset of the Pleistocene rotations coincides with the beginning of uplift and a change in the stress pattern of extension. We compare our findings with existing models for the Aegean area.