KYIV, Sept 22 – Leading Ukrainian shares slipped in thin trade this week, but dealers said the market was protected from the worst of turbulence sweeping larger exchanges because of its small size and low level of liquidity.
The benchmark PFTS 14-share index eased 0.45 percent to close at 56.71 on Friday compared with 56.97 last week.
“Ukrainian shares performed quite well if we take into consideration what happened in Russia,” said Michael Sito at Dragon Capital brokerage in Kyiv said.
Ukraine’s fledging stock market often follows all the ups and downs of the bigger Russian market as many investors consider Russia and Ukraine one region.
Losses on major markets triggered by a sales warning from computer chip maker Intel Corp on Friday contributed to the Russian RTS1-Interfax shares index’s 6.77 percent fall. Over five days it has lost more than 15 percent.
In the absence of positive domestic news to give it a boost upwards in the near term, dealers predicted the Ukrainian market would remain stable.
Trade was mostly supported by local demand which was focused on second tier electricity distributors and first tier oil and gas company Ukrnafta, traders said.
Ukrnafta announced strong 1999 results this week, as well as plans to stabilize oil output in 2000.
Ukrnafta rose to Hr 22.1911 this week from Hr 21.756 a week ago.
Shares in electricity distributor Dniprooblenergo were flat at Hr 30 on Friday, while shares in energy generator Zakhidenergo plunged to Hr 31 from Hr 36.50 last week.
Total trading volume, which includes deals in treasury bills and promissory notes as well as shares, fell to Hr 7.404 million this week from Hr 28.18 million a week ago.
There are 432 companies traded on the PFTS electronic share trading system.
