BUX Index Fell on Rising Turnover This week

The Budapest Stock Exchange's share index, the BUX, closed down 4.56%, or 2,644.27 points, on Friday at 55.376.10 points compared to the previous week's close, MTI reported on Sunday morning, along with a brief analysis of the week’s trading.

The total turnover of the stock market rose from HUF 64.320 billion to HUF 89.737 billion in one week. The leading shares had a mixed performance.

The BUX started the week lower, but did not perform badly as European stock indices fell much more. Investor sentiment turned negative due to the uncertain international outlook, according to experts.

By Tuesday, the BSE had turned into a slight uptrend, while Western stock markets remained in a closed session.

On Wednesday, uncertainty led to a renewed decline, with OTP's weakness clearly behind the BUX's renewed fall, with some large investors presumably dumping their shares. Finally, on Wednesday evening, news of the US interest rate decision was released, suggesting further monetary tightening in the US.

The announcement was received unfavorably by Western stock markets, while on Thursday, the mention by the Finance Minister of an increase in the tax burden on the banking sector added to market tensions domestically.

Trading did not pick up on the last day of the week, with the BUX closing down on Friday. The stock market continued to be driven by government announcements, with investors worried about a possible increase in the budget deficit on the last trading day of the week.

OTP weakened the most this week, by 12.59% to HUF 1,850, with weekly turnover exceeding HUF 70 billion.

Richter's share price was at the same level as last week, at HUF 9,200 by Friday's close, with a turnover of HUF 6.3 billion.

Mol gained 0.87%, or HUF 24, to HUF 2,786 on turnover of more than HUF 7 billion.

Magyar Telekom ended the week 1.52% higher, up HUF 8, at HUF 533, with turnover of nearly HUF 3 billion.

The BUMIX index of small and medium-sized shares rose by 1.47% to 70.47 points, with a total turnover of HUF 3.37 billion.