Are you sure?

BUX gains 1.57% as proposal to freeze US federal spending boosts outlook

The Budapest Stock Exchange's blue-chip BUX index closed Wednesday trade up 1.57% to 23,148.98, rising with blue-chip indices throughout Europe after investors concluded that US President Barack Obama's Tuesday-evening proposal to freeze government spending for a period of three years has reduced the chances that the country would succumb to a double-dip recession.

The BUX gained 358.01 points on a composite exchange turnover of HUF 20.72 billion, fluctuating in a 1.9% range between an intra-session low of 22,835.63 shortly after morning bell and an intra-session high of 23,269.44 at 4:00 p.m.

The mid-cap BUMIX index also gained on Wednesday, advancing 27.76 points, or 1.42%, to 1,987.05.

BSE blue-chips stood as follows at Wednesday's closing bell: OTP Bank gained 2.55% to HUF 5,830 on an exchange-high turnover of HUF 14.33 billion; Oil and gas company MOL advanced 1.48% to HUF 22,305 on a turnover of HUF 3.62 billion; Magyar Telekom gained 0.91% to HUF 555 on a turnover of HUF 554 million; Drug company Richter advanced 0.30% to HUF 43,000 on a turnover of HUF 1.61 billion.

The BSE Big Four generated 97.1% of the exchange's composite Wednesday turnover.

Other major central and eastern European blue-chip stock indices also closed higher on Wednesday, with Prague's PX-50 gaining 0.81% and Warsaw's WIG-20 advancing 0.35%. (MTI-Econews)