Stocks report: Record Week
This confirms the dominant market trend and suggests further gains in the coming weeks. Both WIG20 and WIG gained 3.5 percent on the week, and the mid-cap Midwig index added nearly five percent.
Stocks got a boost from better-than-anticipated financial results from some companies. BRE Bank revealed extremely positive figures for Q4, which helped to lift all bank shares on Wednesday. The buying mood spread on Thursday, as both the WIG and WIG20 managed to hit new all-time highs, which I would link with foreign investors' purchases, as the zoty posted some strong gains.
Sellers only appeared in the second half of Friday's session, but it was mainly due to a negative impact from copper prices, which fell to a recent low. This created selling pressure on KGHM stock, which was a convenient excuse to cash in some gains on other stocks. Banks were the best-performing sector, where BRE and Millenium gained the most, 16 and 14 percent on the week respectively.
I hope for further gains next week, but it will depend on raw-materials futures, as well as financial results from listed companies. The shares are not cheap, but there is still no sign of reversal.
Tomasz Jerzyk,
technical analyst DM BZ WBK SA
