BUX follows negative global trend
The Budapest Stock Exchange's main BUX index finished down 0.46% at 17,504.38 Thursday, after rising 0.78% Wednesday. It is down 5.71% from the end of last year, after it rose 2.15% in 2013. After two days of healthy rises, the Budapest parquet turned back after dismal preliminary PMIs in the euro area, China, Japan and the US soured global mood.
Loser of the day, OTP was bruised by a reminder from a managing director of the National Bank of Hungary (MNB) who said at a business forum that debtors relief legislation including a mandatory conversion of forex loans into forint debts would result in an annul loss of HUF 100 bln for the banking sector for the foreseeable future.
The downside for OTP is limited, though, analysts say as investors hope the market leader could come out ahead of the pack while the sector grapples with the impact of debtors relief legislation and as a consolidation of the banking scene looms as a result.
The fall of MOL was slowed by unconfirmed news that US specialised acquisitions company Klesch Group might be interested in MOL's stake in its Croatian peer INA, while MOL welcomed US mediation in its dispute with the Croatian government over INA.
Thursday also saw the publication of a joint, non-binding bid by MOL's Slovakian unit, Slovnaft, and state-owned Hungarian Electricity Works (MVM) to Italy's ENEL for its 66% stake in Slovakia's Slovenske Elektrarne.
The parliamentary debate, begun on Thursday, of Hungary's budget for next year also warranted some caution while the market tries to tag the impact of next year's tax law, adopted on Tuesday.
OTP lost 1.37% to HUF 3,970 on turnover of HUF 4.10 bln from a HUF 6.36 bln session total, a fifth short of the daily average this year.
MOL sank 0.12% to HUF 12,395 on turnover of HUF 1.38 bln.
Magyar Telekom slid 0.86% to HUF 344 on turnover of HUF 434 mln.
Richter advanced 0.40% to HUF 3,755 on turnover of HUF 280 mln.
The bourse's mid-cap BUMIX went out 0.57% higher at 1,475.19.
Elsewhere in the region, Warsaw's WIG20 was down 1.07%, while Prague's PX dropped 1.04%. Western Europe's major indices were all down ahead of their close Wednesday, FTSE-100 in London 0.37%, DAX30 in Frankfurt 0.12%, and CAC40 in Paris 0.90%.
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