The PX-50 index gained 0.25% to 569.80 points on a volume exceeding USD
27.30 mil. in the SPAD trading system. Komercni banka and Cesky Telecom
were among the most actively traded stocks. Cesky Telecom traded on
expectations of Eurotel acquisition and dividend policy news, and rose to
CZK 357 in the morning session, closing at CZK 350 as there was a GDR
seller and as the USD weakened versus the CZK substantially during the
day. Ceske radiokomunikace remainsed at the CZK 230 level, with again the
buy and sell sides dominated by a handful of domestic investors--we have
seen mostly retail buyers in recent days. Komercni banka closed magianlly
up at CZK 2,020 on local selling and on stop/loss trading, the stock still
lacks any catalyst for growth. We either expect stagnation or further
weakness in the stock. Cesky Telecom will likely head higher today as the
BoD´s proposed dividend far exceeded market expectations. Even though
some may want to take profits already, we do not expect any kind of broad
market sell-off in coming days.
Milan Procházka