Wednesday’s session was held in European markets under the banner of recovery after Tuesday’s declines, especially in the banking sector. Wall Street started trading slightly lower, with caution ahead of the release of US inflation data on Thursday. Better sentiment on the Old Continent was associated with the relaxation of taxes on bank profits by the Italian government, and the fixing of their maximum amount. The mood in the WSE was more mixed and a bit sour after the Americans started to fall, but the WIG20 result on Tuesday itself relied mostly on the huge dividend being cut from the Orlen price.
Thus, the WIG20 recorded a decrease of 0.8 percent, while the WIG was higher by 0.35 percent. with an increase in mWIG40 of 0.44%. and a decrease in sWIG80 of 0.22 per cent. The turnover was 857 million PLN, of which 711 million PLN related to WIG20.
“WIG20 is down for only one reason – today dividends on Orlen have been removed. This is a statistical effect, because Orlen is the most important company in WIG20,” Kamil Cisowski of DI Xelion commented in the morning, citing PAP Biznes.
When the index fell 0.1 percent, he explained, “earnings subtract about 1.1 percent from WIG20 quotes, except for that, the index would indicate an increase of about 1 percent.” Thus, the closing of the session indicates an increase in the index, if not for profits. Hence the increase in the WIG with a mixed performance of the other major indicators.
WIG20 is a price index and WIG is an income index, which is important because the Orlen dividend cutoff of PLN 5.5 per share affects the former, but does not affect the latter, which is calculated taking into account the price of the shares included in it and the dividend income.
Looking at the details of the WIG20 session, it can be seen that only CD Projekt (-2.85%) was under obvious supply pressure. The remaining seven companies with exchange discounts lost less than 1 percent. Including Orange (-0.59%) which was the only one from the basket that rose on Tuesday. On Wednesday, it was announced that an initial bid would be placed in the 5G auction. However, Dino (-0.62 percent) and Croc (-0.62 percent) were on the podium for the biggest discounts.
Among the decliners were the largest banks – PKO (-0.03%) and Pekao (-0.09%), but the industry index rose 0.15%. This is mainly due to a rebound in shares of Alior (2.04%) and Millennium (2.33%) from mWIG40, but also minor increases in mBank and Santander.
A stronger increase in WIG20 was achieved by LPP (2.36%), JSW (2.41%), Kęty (2.53%) and PGE (1.84%). When it comes to Kęty, it is worth noting the update of the KNF register and the increase in the short position on the shares of the company by the Marshall Wace Fund. The Orlen exchange rate itself also rose by 1.37%. With the largest market turnover of PLN 172 million. Orlen’s dividend will be paid on August 31st.
In addition, it is worth paying attention to mWIG40 and the reaction rate CCC (1.24%) to the results and the company’s board conference. The share price of Creotech (7.31 percent) looked interesting, setting a new historical limit, which reached the company’s capitalization of about PLN 470 million. This seems to be due to information about a possible second Polish astronaut in space and the possibility of Polish companies from the space sector participating in research and increased funding for the contribution to the European Space Agency (ESA) by the Polish government. ZUE shares fell even more strongly (12.14%), Which estimates that in the first half of 2023 the net profit was PLN 4.3 million.
With more interesting market information, it is worth giving the information on going below the 5 percent threshold. In ownership of a Starward Industries shareholder (0.0 percent) of NewConnect. Now, he will not have to inform the market of possible subsequent sale transactions Pauls Biznesu wrote.
Michael Kopecky
Echo Richards embodies a personality that is a delightful contradiction: a humble musicaholic who never brags about her expansive knowledge of both classic and contemporary tunes. Infuriatingly modest, one would never know from a mere conversation how deeply entrenched she is in the world of music. This passion seamlessly translates into her problem-solving skills, with Echo often drawing inspiration from melodies and rhythms. A voracious reader, she dives deep into literature, using stories to influence her own hardcore writing. Her spirited advocacy for alcohol isn’t about mere indulgence, but about celebrating life’s poignant moments.
