Leading Ukrainian shares climbed to a new year-high in the latest trading period, but dealers said the market would be unpredictable in the near-term due to instability on the currency market and the general weakness of the economy.
The PFTS benchmark index firmed by 0.22 percent in the latest trading period closing at 36.67 on Dec. 14 compared to 36.59 a week before. On Dec. 9 the index hit a new yearly record, closing at 36.71.
'Indices are still rising but trade slowed this week as foreigners are not willing to enter the market and locals – the only driving force – do not have enough funds to support the upward trend,' one dealer said.
Trading volumes, which include deals with treasury bills and promissory notes as well as shares, jumped to Hr 32.355 million from Hr 31.273 million for the previous trading period.
Dealers predicted the market would hover around current levels in the near-term due to troubles on the volatile currency market.
The hryvna's official rate on Dec. 14 fell to its new low of Hr 5.0862 to the dollar from Hr 5.0383 on Dec. 13, and on the inter-bank market the hryvna was quoted at Hr 5.40/5.50.
National Bank Chairman Viktor Yushchenko said the bank would take special measures to support the currency but declined to name them. 'When the hryvna is unstable nobody cares about the stock market, people rush to buy dollars,' another dealer said.
Shares in chemicals maker Stirol went up to Hr 5.3 at Dec. 13's close from Hr 4.5 a week before. However, the latest Dec. 6 deal on Stirol was struck at a price different from the market one, which is currently Hr 4.6/8.7.
Shares in electricity generator Zakhidenergo fell to Hr 22.42 on Dec. 13 from Hr 55.38 a week before. Again, the last Dec. 6 deal on Zakhidenergo was struck at a price significantly different from the market one, which is currently Hr 18.5/23.9.
PFTS November ratings
The PFTS index grew strongly in November, rising 21 percent over the month, to outstrip even the most hopeful predictions for 1999. The rise was fueled in the main by increases in the share prices of Ukrnafta, Stirol, Zakhidenergo and Kyivenergo.
Despite decreased trading in shares in the Mykolaiv Alumina Plant, the trading volume in November on the PFTS remained relatively high at Hr 87.1 million. The leading issues in terms of volume of shares traded were Mykolaivnaftoproduct (Hr 17.3 million), Mykolaiv Alumina Plant (Hr 10.56 million), Odesaoblenergo (Hr 6.2 million) and treasury bills (Hr 5.4 million).
Altogether, the PFTS system registered 1,079 deals in November, and the total quantity of shares changing hands was 228.056 million.
The top three share traders on the PFTS system in November were Ometa Trust (18th place in October), Sokrat (23rd place in October) and Slavutych Capital (first place in October).
The leading promissory note traders in November were Tekt, Zevs and Alfa Capital.
Next week Money Man will profile the Wood-15, an alternative to the PFTS index.
