After a year start marked by stormy increases amid global economic revival expectations and a second quarter that brought some of the biggest corrections of recent years on the Bucharest Stock Exchange in the wake of the Government's tough budgetary adjustment decisions, in July and August the market entered an unexpectedly prolonged state of general apathy.
The value of shares transferred on the BSE reached a mere 67.3m euros, with a lower level being registered only in the first two months of 2009, when the quotes of the main stocks were around half their current value.
September is likely to bring a thaw-up of transactions on the Bucharest Stock Exchange, but its trend may not follow the direction desired by investors, analysts say.
Internally, budgetary adjustment steps are expected to keep the economy falling at least in the last two quarters of the year, and political risk is in the air this autumn and could keep foreigners away from the BSE until spring.
"(...) Foreigners' activity may rise again at the beginning of next year, with the listing of Fondul Proprietatea and the sale by the state of stakes in companies it still holds shares in," says Mihai Mîndruţiu, an analyst with Interdealer Capital Invest.
After a year start marked by stormy increases amid global economic revival expectations and a second quarter that brought some of the biggest corrections of recent years on the Bucharest Stock Exchange in the wake of the Government's tough budgetary adjustment decisions, in July and August the market entered an unexpectedly prolonged state of general apathy.
The value of shares transferred on the BSE reached a mere 67.3m euros, with a lower level being registered only in the first two months of 2009, when the quotes of the main stocks were around half their current value.
September is likely to bring a thaw-up o
