Bucharest Stock Exchange at seven-year maximum


The main index of the Bucharest Stock Exchange (BVB) BET has climbed in July 2015 to its maximum in the past seven years; share trading (not including public offerings) has reached the highest peak in the past 12 months, and the market capitalization of the listed companies has attained a new historic maximum of 154.2 billion lei (almost 35 billion euros), according to the most recent BVB monthly report.

After a slight drop in June, the BET index that shows the evolution of the most traded 10 shares at BVB has increased in July by 4.18pct, one of the best monthly evolutions among the indices of other stocks of Central and Eastern Europe. The uptrend of the Romanian index was better than the one recorded by the main indices of Hungary (+3.13pct), Austria (+3.63pct), Bulgaria (-2.39pct) and Poland (-3.9pct).

The July dynamics has mounted the BET index to the highest level in the past seven years, higher levels of the index being recorded most recently in June 2008. BET closed July by 7.34pct over the level of the end-year 2014.

The BET Total Return index (BET-TR) climbed by 5.89pct in July, so that at the end of the month it showed 12pct over the level of the last day of 2014. The BET-TR index reflects the performance of the most liquid 10 companies listed at BVB, also included in the BET index, as well as the dividends these companies pay to their stakeholders.

Investors have traded in July 913.5 million lei (205.7 million euros) in shares on the main market, this being the highest level reached in the past 12 months. The July 2015 level is only by 1.4pct below the one of July 2014, when Electrica (EL) has made its debut on the market, after performing the biggest IPO ever unfolded by a Romanian company.

The value of the transactions with shares in July 2015 was also by 20.3pct higher than in June 2015. July has also reconfirmed the trend recorded from the beginning of the year regarding a larger relevance of the Regular market as the main stocks market (84.8pct of the total value of traded stocks in July, from 76.98pct in June), as compared to the Deal market.

The value of the transactions recorded on the main market on all segments has peaked by 17.46pct, to 986.8 million lei (222.2 million euros). This sum covers transactions in shares, bonds, fund units, ETFs and structured products, except for public offers.

The significant evolution of July has boosted the market capitalization of the companies listed to a new historic maximum, worth 154.2 billion lei (almost 35 billion euros), a level by 5.87pct over the end-June level and by 18.6pct above the value of the last day of 2014.

The market capitalization of the Romanian companies listed at the BVB reached 86.1 billion lei (19.5 billion euros) at the end of July, by 4.5pct beyond the end of 2014.