The PX-50 index closed higher again yesterday, up 1.63% on the day. Zentiva gained sharply after the company confirmed it will make an offer for the Romanian SICOMED, a transaction well praised by analysts. All other mid caps followed suit and posted sharp gains, with Unipetrol up over 7% and Orco up over 5%. CEZ saw active trading and a gain of over 3% on the day. However, we saw only a limited number of natural buyers, but rather a number of short coverings from squeezed market makers. Only CME closed down (almost 2%). Even though we see further upside in the near term, we think we may see some profit taking ahead of the weekend, particularly in Komercni banka, CEZ seems to be the top candidate to close in the red.