On the Zagreb Stock Exchange today, most analysts expect stagnation, fearing a possible spillover of negative sentiment from global markets to the domestic market.
Of the eight analysts who participated in Hina’s survey, six expect stagnation of the Crobex today, while one expects growth and one expects a decline. The Crobex index weakened by 1.4 percent yesterday, to 1,763 points. Regular trading in shares reached nearly 37 million kuna. "There is a possibility of negative sentiment spilling over from global markets, fueled by weak macroeconomic news from the global economy and disappointing corporate earnings reports, so I expect stagnation on the domestic market today, with a possibility of negative correction," says Maja Bešević, an analyst at the brokerage firm Abacus Brokers. Share prices on Wall Street fell on Thursday after Microsoft reported worse-than-expected business results and announced layoffs, and new data indicating a strengthening recession also worried investors.
As a result, leading indices on Asian stock exchanges also fell this morning, with the Japanese Nikkei dropping more than 3 percent. Along with the usual most liquid shares in the construction and telecommunications sectors, Bešević points out that there may also be a continuation of increased investor interest in shares of shipping companies. The reason for this is the announcement from Atlantska Plovidba that it will discuss, among other things, the possibility of paying an advance dividend for 2008 at the Management Board meeting on January 27, as well as yesterday’s jump in the Baltic Dry Index (BDI) for bulk cargo by 45 points, to 945 points. Speaking about the situation in the global shipping sector, Bešević emphasizes that one of the leading shippers in the world, Greek DryShips, announced that it would close the last quarter of last year with a loss, announced a fleet reduction, and suspended dividend payments in an effort to dramatically reduce capital costs and minimize cash usage.
