Small trades boost stock prices

  • 2003-07-17
  • Baltic News Service
Baltic equity showed no signs of letting up its year-long surge, as the Baltic Index of 15 stocks jumped 2.6 percent last week to hit yet another record – 227.5 points.
Baltic List turnover reached 7.9 million euros, with over 90 percent of that – 7.1 million euros - coming on Estonian equity.
All the leading shares of the Tallinn Stock Exchange ended in positive territory in the week ending July 11, with Hansapank posting the biggest gains of roughly 2.5 percent.
"The market as a whole was fairly strong. The rises in stock prices differed, but that does not show anything much," Sten Sumberg, head of the markets department at Suprema, an investment bank, said.
As he explained, stock market liquidity is quite low, which means a few short-term transactions can easily sway the market.
Most of the weekly turnover in Tallinn, as well as the Baltics, was generated in deals with Hansapank and Eesti Telekom, which together make up for most of the Baltics' market capitalization.
Hansapank ended the week 2.5 percent higher at 285.8 kroons (18.27 euros) on turnover of 64 million kroons, while Eesti Telekom advanced 0.8 percent to 110.7 kroons, with 42.7 million kroons of shares changing hands.
Car safety equipment maker Norma, another market favorite, finished up 1.9 percent on 5.2 million kroons in trade.
In Latvia, the sluggish, summertime mood prevailed on the markets, with stocks gaining on small transactions. The biggest price gains were recorded on stocks quoted on the free list, but their share in total turnover on the Riga Stock Exchange was negligible.
Despite the debate between the government and Latvijas Gaze (Latvia Gas) over uncertainties in the use of an underground gas storage facility in Incukalns, there was a brisk trade in shares that helped the company's stock price inch up 0.3 percent to 5.6 lats (9.3 euros).
In Lithuania, Lietuvos Telekomas rose 1.4 percent to 1.4 litas (0.4 euro) on turnover of 770,800 litas.
The week's surprise was Snaige, the refrigerator producers, which rose 9.6 percent to 170 litas on trades worth 689,900 litas.
Anyksciu Vynas, the alcohol producer and recent star of the Current List, soared by 24.4 percent on turnover of 559,400 litas. The distillery stole the show on the bourse upon revelation that the State Property Fund (SPF) closed talks with Artrio-2, an alcohol retailer, on sale of a 72.93 percent stake in the company. Artrio-2 allegedly offered 20 million litas, or almost 0.56 litas per share, for the stake in the wine producer, which compares with the starting price of 10 million litas for the stake.
Distilleries Alita and Stumbras posted turnover of 277,500 litas and 100,400 litas respectively amid brisk trade in stocks of the two companies awaiting privatization.
Alita grew 4.5 percent to 1.3 litas, and Stumbras closed the week unchanged at 5.5 litas.