Today, both trading and indices on the Zagreb Stock Exchange are stagnant as most investors are reluctant to invest in the capital market until they see signs of improvement in the domestic economic situation, as well as sentiment on global exchanges.
The Crobex index was down 0.02 percent at 12:00 PM, at 1,860 points, while Crobex10 was up 0.14 percent, at 990 points. Regular trading in shares amounted to around 5 million kuna, što is approximately at the same level as yesterday at this time. "The proposed budget rebalancing has dashed hopes for a near-term improvement in the domestic economic situation, and as pessimism has taken hold on global exchanges due to the accelerated slowdown in recovery worldwide, investors are staying away from the capital market," says Stjepan Laća, broker and investment advisor at the investment company Finesa Capital. The highest trading volume so far has been achieved by INA shares, amounting to 2.75 million kuna, with its price weakening by 0.05 percent, to 1,650 kuna."INA shares are in somewhat greater focus for investors as institutional investors are likely restructuring their portfolios following the announced increase in excise duties on gasoline, as they do not know how much of the increased excise duties INA will be able to pass on to end consumers, and how much burden it will have to bear itself," Laća notes.
The only other stock with a million kuna turnover so far is HT’s stock, which achieved 1.11 million kuna, with its price strengthening by 0.34 percent, to 258.5 kuna. On European exchanges, stock prices are also down today as investors are concerned about the slowdown in global economic growth, and the downgrade of Ireland’s credit rating has again brought the over-indebtedness of Eurozone member countries into focus for investors. American futures indices, on the other hand, are stagnant after yesterday’s drop in stock prices of more than 1 percent. Investors are awaiting the release of new macroeconomic indicators – data on durable goods orders for the U.S. industry in August and on the sales of newly built residential properties in July."Investors expect poor indicators; it is just a question of how bad they will be. Special attention will be drawn to tomorrow’s release of data on the number of new unemployed Americans in the past week and next Wednesday’s release of the Purchasing Managers’ Index in the U.S. industrial sector, which will indicate the current real state of the largest economy in the world," Laća points out.
