The question is how long the positive trend of Crobex will last

After a strong jump last week, a stabilization of Crobex is expected today on the Zagreb Stock Exchange, as there are currently no significant business news, and global stock markets are stabilizing after the growth of recent weeks.

All 8 analysts from brokerage firms who participated in the Hina survey expect stagnation of Crobex today. The Crobex index jumped 4.10 percent last week to 1,810 points, the highest level since May 7 of last year, when trading ended at 1,813 points.

Crobex10, on the other hand, rose by 3.79 percent to 1,010 points, the highest level since March 19, when trading ended at 1,011 points. The regular turnover of shares last week amounted to 43 million kuna, which is almost 25 million more than the previous week.

“Last week was very good as Crobex jumped more than four percent. Additionally, it rose for six consecutive days, which has not been recorded for a long time. However, as welcome as this growth is for the market, it was not accompanied by fundamental changes, either through a positive flow of corporate news or through the release of macroeconomic data. Therefore, the question is how long this positive trend will last,” says Anto Augustinović, senior capital market analyst at Erste & Steiermaerkische Bank.

Last week, almost all blue-chip stocks were in focus for investors, indicating that investors are positioning themselves at the beginning of the new year. The most liquid was the stock of Ericsson Nikola Tesla, with a turnover of 4.2 million kuna, and its price rose by 3.42 percent to 1,421 kuna.

Following is the stock of HT with just over 4 million kuna in turnover, and a price jump of 3.83 percent to 208 kuna. There was also significant trading in the stock of AD Plastik, which achieved more than 3.2 million kuna in turnover, and its price rose by 5.65 percent to 113 kuna.

“The market could take a breather today, so I expect calmer trading and stagnation of Crobex, especially since no significant announcements are expected from either the domestic or global economic scene, and the euphoria on the most important global exchanges has subsided, triggered by the avoidance of the ‘fiscal cliff’ in the U.S.,” says Anto Augustinović.

Last week, stock prices on global exchanges rose sharply, thanks to an agreement in Washington to reduce the budget deficit, thereby avoiding the ‘fiscal cliff’ and a recession in the U.S. economy.

On Wall Street, the S&P 500 index jumped 4.6 percent to 1,466 points, the highest level since December 2007. The Dow Jones strengthened by 3.8 percent, while the Nasdaq index rose by 4.8 percent.

Stock prices on European exchanges also rose sharply last week. The London FTSE index strengthened by 2.8 percent, while the Frankfurt DAX jumped by 2.2 percent, and the Paris CAC rose by 3 percent.

However, at the beginning of this week, caution prevailed on Asian and European exchanges. Analysts say it seems that markets are entering a consolidation phase after the recent gains that have pushed most stock indices to their highest levels in a year.