The PX-50 index lost 1% of its value and fell to 575.5 points yesterday. The decline can be partly attributed to yesterday being the first session of ex-dividend trading for CEZ stock, as it lost over 3.3%, and to profit taking in Cesky Telecom stock, which lost 1.1%. Most of the activity involved Komercni banka stock, where again both strong buying and selling flows generated a volume exceeding USD 16.4 mil., though the stock closed unchanged. While some investors may still seek to realize profits in Cesky Telecom, we believe the room for fall is limited, at least until the last cum-dividend trading day (June 23). CEZ is likely to sustain its current level, and Unipetrol should rise on expectations of a sale, we believe. We are more cautious concerning other blue-chip names, but we continue to believe that the time has not yet come to take profits across the market. Volume in the SPAD trading system reached USD 32.65 mil. yesterday.
Milan Prochazka