The PX-50 index closed up nearly 1% yesterday

The PX-50 index closed up nearly 1% yesterday, led by Unipetrol and Erste Bank. Unipetrol gained over 3% despite comments from the PKN CEO that there are no imminent plans to launch a public buyout for PKN shares. Unipetrol continues to be widely held by domestic retail accounts anticipating a public bid by an acquirer. Erste Bank’s result follows sector strength as Unicredito-HVB talks continue, CEZ closed unchanged despite a slightly lower than expected dividend announcement. We continue to see average volumes with no particular capital flows or news.

1Q GDP is to be released today at 9:00am CET. The market expects GDP to rise 3.9% y/y compared to 4.3% y/y in 4Q04. Patria’s estimate stands at 3.9% y/y.

May industrial output is to be released today at 9:00am CET. The market expects an increase of 3.5% y/y compared to 0.1% y/y in April. Patria estimates the output to rise 5.0% y/y.