Stocks report: Strong finish to the week

All the main WSE stock indices went up as well as most of the sector indices. The only loser was Telecoms, which was caused by the weaker performance of TP, which decreased by nearly four percent. The best performing sectors were Construction/Real Estate and Food, which added 7.9 and 3.8 percent respectively.

The WIG20 rose by 1.2 percent, while the overall market index WIG gained 2.1 percent and set new all-time highs. Still, the buyers were focused on small and medium-sized companies, which are true market leaders in recent weeks.

Intereferie, Spray and FON were the winners for the week, but it is rather difficult to find the reason. It seems that investors implemented more risky strategies to ensure a better return on investment. This typically occurs before an important market reversal, but, for now, there are no signs of such a change.

GTC Real Estate gained the most among the big-cap stocks, as it signed a new contract in Wrocław. BZ WBK was also strong, due to weaker performance earlier and further gains on the WSE (thanks to its Arka mutual funds).

Last week was positive for stocks and many investors can count on further gains and expect the seasonal so-called Santa Claus rally.

Tomasz Jerzyk, technical analyst DM BZ WBK SA