Big companies follow the blow. Amazing discount on Bumech
The beginning of the week started with the advantage of gains in the index of the largest companies and a slightly weaker position of the lower segments of the market. Ukrainian companies and banks stood out favorably, but the coal rate in Bumech saw an amazing sell-off. The session started with the continuation of the gains that started at the end of last week. Fuel, which improved the morning feeling, was added by information from the front about the offensive of the Ukrainian army. Another support was the weakness of the dollar against the euro, which was used by the zloty and buyers on the WSE exchange to a large extent. The closer we get to the opening of the session on Wall Street, the better the performance of European indices, including the WIG20. Demand rebounded after the start of trade in the US began to rise significantly. Investors are preparing for Tuesday’s reading of US inflation, believing it will show a further slowdown. At the end of the day, WIG20 gained 1.78%. WIG was 1.18 percent higher. The performance of MWIG40 (0.04%) and sWIG80 (-0.42%) was relatively weaker, the turnover amounted to 943 million PLN, of which 734 million related to WIG20. From the September 7 slot, WIG20 has already gained more than 9 percent. In four sessions. Sectorally, banks (3.76%), mining (2.14%) and fuels (1.78%) performed the best. The performance of the seven industrial indicators declined, with energy in the lead (-3.09%). It should be noted a significant increase in the WIG-Ukraine National Index (5.71%). At WIG20, attention was drawn to the banks, whose rates occupied the full podium of the fastest growing banks during Monday’s session. Pekao (5.51%) was the leader, followed by PKO BP rate (4.2%), and mBank third (4.15%). Data of the Polish Financial Supervisory Authority (KNF) appeared on the market – on the results of the banking sector for the first seven months of the year, which, despite high revenues, show a significant decrease in profits. This is the result of including, among other things, the costs of credit leave. The market may have already dealt with the sector’s skeptical assessment thus far, and with increased risk appetite, bank stocks, especially the biggest ones, are attractive. The index also attracted the shares of Consolidated Contractors Company (3.84%), which were bought willingly after information on the issue aimed at helping maintain liquidity, addressed only to the founder of the company. A decent gain of 2.91 percent quoted KGHM’s stock price, and the increases were also complemented by increases for PKN Orlen (1.85%) and PGNiG (2.08%). While oil on world markets was rising, gas on European stock exchanges was cheaper, which can be read as a lack of confidence that Gazprom will completely shut down the gas tap and less concern about the scale of Europe’s energy crisis. On the negative side, PGE shares (-5.22%) ruled out the European Commission’s idea of lowering energy prices in Europe and market interventions. CD Projekt (-3.6%), JSW (-2.62%), LPP (-1.5%) and Pepco (1.1%) shares also fell, and there was a lot going on in the broad market on Ukrainian companies. Where it is 76.27 percent. CoalEnergy shares increased. It can be assumed that some investors combined the information from the front with messages after the visit of Prime Minister Morawicki to Ukraine about the announcement of the purchase of 100,000. Tons of coal from behind the eastern border. In the ESPI system, the company reported that it mined approximately 12.5 thousand in the period from January to April 2022. Ringtone. Agri-food companies led by Milkiland (22.88%) and KSGAgro (22.12%) also posted increases. With a turnover of more than 25.3 million PLN, only 0.5 percent. Shares of Kernel, the largest basket company, rose. At the start of the session, increases on these papers exceeded 19%. The scale of the WSE star’s sale in recent months has been a surprise. By 21.93 percent shares of Bumech were discounted, bringing the capitalization down to less than PLN 1 billion, and last week it amounted to PLN 1.3 billion. The latest information from the company was news on Friday about the change of president.