BUX Index Strengthened This Week on Falling Turnover

The stock index of the Budapest Stock Exchange (BSE) strengthened this week on the back of falling turnover. The BUX closed at 65,384.60 points on Friday, 147.67 points, 0.23% higher than a week earlier, MTI reported this Sunday morning.

Turnover on the stock market was HUF 39.493 billion, up from HUF 53.746 billion the previous week, with the leading shares, with the exception of OTP, rising.

In its weekly summary, Equilor Investment Plc. discussed dividend plans for leading stocks. Richter's board of directors will propose a dividend of HUF 423 per share to shareholders at the general meeting on April 25. At OTP's shareholders' meeting the following day, shareholders will vote on a dividend of HUF 535, significantly higher than last year's HUF 300. In other news for OTP, the bank continued to buy back its own shares, buying back more than 80,000 of its own shares in the three trading days between March 22 and 26.

At its interest rate decision meeting on Tuesday, the central bank cut the base rate by 75 basis points to 8.25%, in line with the consensus, and published the framework figures of the latest inflation report. The MNB expects inflation to be between 3.5 and 5.0% this year and between 2.5 and 3.5% next year and in 2026. Economic growth is expected to increase from 2-3% in 2024 to 3.5-4.5% next year and to moderate to 3-4% in 2026.

Leading equities, with the exception of OTP, strengthened this week. Mol shares posted the biggest rise. The share price gained 0.95%, closing the week at HUF 2,960 on Thursday on weekly turnover of HUF 4.395 billion.

Magyar Telekom gained 0.79% this week, ending Thursday's trading at HUF 897 with a weekly turnover of HUF 1.267 billion.

Richter was up 0.65%, ending the short week at HUF 9,260 with a turnover of HUF 9.034 billion.

OTP weakened by 1.18%. The stock ended Thursday's trading at HUF 16,800, with a weekly turnover of HUF 22.767 billion.

The BUMIX index of small and medium-sized shares closed the week at 6,104.04 points, up 194.99 points or 3.30% on the previous week.