The Prague index PX-50 followed the sharp decline of Western markets on Friday, in line with the sentiment there and lacking any significant corporate news on the domestic front. Cesky Telecom lost 4.22%, to CZK 430.90, trading as low as CZK 421 as a number of domestic brokers stop-lossed their positions of Thursday. We believe that, overall, the market is flat in Cesky Telecom and that brokers may therefore seek to accumulate Cesky Telecom early today. Ceska sporitelna traded in a good volume of more than 655,000 shares Friday, rising 4.94%. Komercni continued its rise, closing up 0.85%, trading as high as CZK 1,078. The title still has good momentum and attracts the interest of international accounts. Fundamentally, however, KB trades with a significant premium to its regional peers and we still advise reducing positions. Total market volume reached USD 22.21 mil. on Friday.
(Milan Procházka)