The PX-50 index lost 1.2% on heavy profit taking yesterday. The biggest losers were Erste Bank, Komercni banka and Cesky Telecom. Erste Bank lost value throughout the session following the downturn of the stock price in Vienna, and it closed down 3% in Prague. Komercni banka, down 1.3% on foreign selling and on stop-loss orders from market makers, was the day’s most actively traded stock. Cesky Telecom was down 1.4% as foreign investors took profits after recent gains. Philip Morris CR was the only title to see its price rise yesterday, being well demanded by foreign investors. We expect the market to stabilize today; Philip Morris CR could see its price rise again after the Czech Parliament yesterday surprisingly rejected an excise-tax hike on cigarettes (see below).
Silvio Kotarac