The Warsaw Stock Exchange recorded significant increases on Monday. This is a reaction to information about the talks of US President Donald Trump with the European Union about the duties.
At the end of the day, WIG20 increased by 2.76 percent. to 2792 points, WIG – by 2.34 percent up to 102,261 points, mWIG40 – by 1.35 percent up to 7858 points, and SWIG80 – by 1.14 percent up to 28,585 points
Turnsing on the stock market exceeded PLN 1.22 billion.
WIG course (last 3 days)STOOQ.PL
“The last hours have brought a strong reflection”
– Today's session brought a continuation of the tendencies from the second half of Friday, when after declines from the first hours, her last hours brought a strong reflection – commented Przemysław Smoliński, BM PKO BP analyst.
– Today we had a stable continuation of the upward trend from the very beginning. A long white candle appeared on the chart – he added.
The BM PKO BP analyst points out that the increases were primarily covered by the largest companies, including banks.
He added that while in a short term such a reflection looks nice and optimistic, in the average all the time the market is in consolidation.
– It was only to overcome the summit at the beginning of May could suggest a lasting return of growth, or even in this case the return of a long -term upward trend. These are around 2,900 points – said Przemysław Smoliński.
– On the other hand, however, we are all the time within consolidation, below the summit from the beginning of May, and also above the support, from which we bounced on Friday – he added.
Growth on the WSE despite the closed New York stock exchange
According to the BM PKO BP analyst, it is interesting that strong increases on the Warsaw Stock Exchange took place on the day on which there are no American investors who have a long weekend.
“Sometimes there is a stagnant because Wall Street is closed.” Today I am rather surprised that such a strong movement takes place without the participation of American investors – he said.
In his opinion, it is difficult to talk about specific investment signals at the average time.
– At subsequent sessions, movement up towards the peak from early May may be continued, but only its defeat would confirm the change in the tendencies within the medium time – said Przemysław Smoliński.
Conversation of the head of the EC with President Trump
The pretext for buying shares was provided on Monday that after a Sunday conversation with Ursula von der Leyen President USA Donald Trump He announced the postponement of new customs entrance to life until July 9.
In turn, by July 14, the EU suspended retaliation duties into American goods worth EUR 22 billion; She announced that they would not come into force if the EU and the USA reach agreement and Washington resigned from the introduction of the so -called mutual duties.
According to the EC spokeswoman, von der Leyen and Trump during a conversation on Sunday they agreed to accelerate commercial talks and remain in close contact.
After this information, the largest European stock exchanges went up. In the US, markets are closed because of the day of memory. Spring Bank Holiday is celebrated in Great Britain.
Source of the main photo: Shutterstock