The Czech PX-50 index went through a technical correction on Friday, losing 0.97% to 418.50 points. The most volatile stock was Ceske radio, trading ex-dividend on Friday in the SPAD. The stock opened weak at CZK 530 but a Reuters report that TeleDanmark’s tender bid for Ceske radio ex-dividend was at CZK 861 per share (vs. previous reports of some CZK 600 per share) boosted the stock on low volume and wide spread to CZK 672.70. However, TeleDanmark issued an explanation after trading closed Friday, which stated that the CZK 861 price reported was cum-dividend. We expect the stock to close down sharply today as the TeleDamark bid implies some CZK 536 per share ex-dividend. Meanwhile, CEZ traded heavily on strong demand (also from international houses) as more than 1.4 mil. shares changed hands; the stock closed up 2.44%, to CZK 104.64. Total market volume reached USD 15.48 mil. on Friday. We expect a weak opening today given the Ceske radio situation. Further direction will be signaled by the openings on European markets.
(Milan Procházka)