Trading on PSE should follow Western markets

The Czech market closed weaker, down 1.7% on average volumes. Some additional activity was seen after the US data was released in the afternoon. Telefonica (565 CZK, -7,91%) O2 CR was trading for the first day without dividend rights of CZK 50 per share and closed down by 7.9% (with the respect to the dividend the result would by +0.2%). Zentiva (1 195 CZK, -1,65%) was under selling pressure for the entire day and declined by 1.7% to CZK 1,195. Also, Erste Bank (1 479 CZK, -2,12%) lost, following the pattern of trading in Vienna. Komercni banka was actively traded with foreign accounts on both sides of the trading. CEZ was without investors’ interest, supported only by its ongoing share buy-back program.

The market should open Friday unchanged or slightly down as Asian markets were off on a stronger yen and worries about the US housing market. There was no major news available today so market conditions to be determined by the mood on Western markets. Liquidity should be again weak as many investors will be waiting for the afternoon's additional US macro data.