What we see on the Bucharest market is a reaction to what is happening on other international stock markets, because they are interconnected, Radu Hanga, chairman of the Bucharest Stock Exchange (BVB), told AGERPRES on Monday.
He added that, if we look at the dynamics of the markets in the last week, we see that the Bucharest Stock Exchange was more resilient.
„If we look at the dynamics of the markets in the last week, we see that the Bucharest Stock Exchange was more resilient, with a decline of 4%, slower than other important markets in Europe, such as France (4.6%), Germany (6%) or Italy (almost 8%). The BET index of the Bucharest Stock Exchange is in a slightly better position even against markets in the region, as most of them underwent corrections of between 4.7% and 6.7%, except for Croatia, which fell by only 0.4%,” said Hanga.
He added that these periods of corrections do not affect the business of listed companies, but create opportunities for investors, as they can buy shares at prices a few percent lower.
„Today’s trading volumes, which exceeded last year’s daily average of almost EUR 31 million, show us that some of the investors see these opportunities. Investors are very attentive to the evolution of the global context and government policies, to the developments in inflation and the dynamics of the economy, as well as to the start of a new cycle of interest rate reductions, and their reactions are largely influenced by economic developments and the decisions of the major central banks. The Bucharest Stock Exchange recorded the best development among the markets in the region in the last five years, with an increase of 170% in the case of the BET-TR index, i.e. the yield offered by the increase in share prices plus dividends. And this development includes both the decreases during the pandemic and those at the beginning of the war in Ukraine and the impact of surging inflation.”
BVB stocks opened the trading session on Monday lower, and many hours into it they were still in negative territory. The BET index recorded a drop of 4.28% to 17,637.13 points. Trades amounted to RON 207.784 million (EUR 41.763 million).
AGERPRES
