Shipping Companies Continue to Sink

The stock index today increased by 1.91 percent with a relatively low turnover of 54 million kuna. Besides Ina, whose share in the index will be slightly smaller from tomorrow due to a low free float, some less liquid stocks recorded an increase, while the decline in prices is most pronounced in the shipping sector stocks.

Today’s trading on the ZSE can be described as quite calm, considering the lack of both bad and good news from the world. Only ten stocks had a turnover greater than one million kuna, and the Crobex ended the day at a closing of 2,580 points. The most liquid was the stock of Končar measuring transformers, but since it was only one block transaction worth 10.4 million kuna, one cannot speak of increased interest in that issue. Given the difficult situation in the shipping sector, which has lost 90 percent of its value measured by the BDI index in just a few months, and the acknowledgment from leaders of domestic companies in the industry that they expect tough times, the largest losses were indeed in stocks from that sector.

Thus, Atlantska plovidba lost 5.35 percent of its value (eight million kuna turnover), Tankerska plovidba 2.71 percent (270 thousand kuna turnover), and Jadroplov 2.39 percent (600 thousand kuna turnover). Today, the corporation Ericsson announced its third-quarter business results, reporting a revenue increase of 13 percent, but this fact did not reflect on the Croatian part of the group. The stock of Ericsson Nikola Tesla, with a turnover of 6.2 million kuna, sank by 2.6 percent.

The stock of HT achieved a total turnover of 6.1 million kuna with a price increase of 0.37 percent, closing at 249.5 kuna. The other national stock – Ina, today collected 1.6 million kuna in turnover with a price increase of 2.6 percent.
Among the stocks with million kuna turnover, there were also construction companies, which, with the exception of Viadukt, had negative performance today. IGH is down by 3.39 percent (4.3 million kuna turnover), Ingra by 1.1 percent (1.7 million kuna turnover), Dalekovod by 2.56 percent (3.2 million kuna turnover), while Viadukt increased by 3.72 percent with a turnover of one million kuna.

At this moment, the head of the American FED is speaking to the American public about pessimistic forecasts for their economy. If his bleak predictions come true, a wave of pessimism could also wash over the domestic market in the coming days. (Amir Kulenović)

*The author owns shares of HT.