BUX Index Rose on Rising Turnover This Week

The stock index of the Budapest Stock Exchange (BSE) rose this week, closing at 61,454.62 points on Friday, up 1.38% to 834.61 points from a week earlier, MTI reported Sunday morning with a brief analysis of the week’s trading.

Weekly turnover on the stock market was HUF 33.6 billion, up from HUF 13.6 billion the previous week, with leading shares gaining.

In its weekly commentary sent to MTI, Equilor Investment Plc. pointed out that the year has started on a hectic note in the equity markets, international investor sentiment is not positive, while the BUX chart does not show much movement, or even a positive one. This is because the weaker performance of OTP and Mol was offset by the rise of Richter, they said.

The analysis pointed out that the Public Debt Management Center (ÁKK) issued 12-year foreign currency bonds. A total of USD 5.8 billion was offered, of which the ÁKK accepted USD 2.5 billion at an annual interest rate of 5.74%.

Equilor recalled the events of the week: Finance Minister Mihály Varga said that the budget deficit and public debt-to-GDP ratio will be further reduced this year, but it is too early to say whether the 2.9% deficit target will be revised. The finance minister said Wednesday's dollar bond issue improves the maturity structure of the debt and was issued under very favorable market conditions. The government wants to keep the foreign currency debt ratio below 30% of total debt. Further dollar bond issuance may come in the second half of the year.

Among the leading stocks this week, Richter rose 4.23% to close at HUF 9120 on Friday, with weekly turnover of HUF 9.3 billion.

OTP gained 0.51%. The stock closed Friday at HUF 15,880, with a weekly turnover of HUF 17.1 billion.

Magyar Telekom rose 0.44% this week, ending Friday's trading at HUF 685, with a weekly turnover of HUF 1.3 billion.

Mol's share price rose by 0.42%, with a turnover of HUF 4.2 billion for the week, closing Friday at HUF 2,838.

The BUMIX index of small and medium-sized shares closed the week at 5,384.65 points, up 101.59 points or 1.92% on the previous week.