The PX-50 index rallied for a gain of 1.7% yesterday. The market was oversold over the past few days and some blue-chip prices were rather deflated, and investors took advantage. The biggest rally concerned Unipetrol, which gained 4.7% on both domestic and foreign demand. Komercni banka gained 2.9% and rose again to CZK 1,900, after having lost about 10% in the past few sessions. Cesky Telecom gained 1.8% as the stock’s dividend record date approaches, though the stock still faces certain selling pressure. CEZ was largely outside investor interest and was stable around CZK 107. Total volume in the SPAD system was again well above average at USD 67 mil. We expect the market to start on a negative note this morning, with most of yesterday's gains likely to be erased. We expect KB and CEZ to trade lower today, while Cesky Telecom should maintain its current level.
Silvio Kotarac