Bucharest stock indices continue to drop, turnover surges

The total equity turnover of the BVB surged to 133 million lei ($35 million/29 million euro) from 45.9 million lei on Wednesday.

Blue chip lender Banca Transilvania [BSE: TLV] lost 3.38% to 2.29 lei in in the day's largest turnover of 65 million lei.

Blue-chip BRD Societe Generale [BSE:BRD] fell 2.39% to 13.06 lei in the day's second largest turnover of 28.5 million lei.

Blue-chip investment fund Fondul Proprietatea [BSE: FP] fell 0.34% at 0.87 lei in the day's third largest turnover of 10.9 million lei.

"The BET benchmark index fell by 2.12%, but paradoxically, banks were not the main reason for the fall," brokerage Prime Transaction writes in a daily analysis of the stock market. Last week, prime minister Mihai Tudose said in a televised statement that some local banks had not posted a profit in recent years and people's deposits might not be safe, adding that the government will publish a list of loss-making lenders. In response, the country's central bank BNR ensured that the banking sector is liquid and has a higher solvency ratio than the European average. Tudose's comments on banks' solvency went on this week too.

Oil and gas group OMV Petrom [BSE:SNP] was the top blue-chip decliner, loosing 4.46% to 0.3 lei in 2.59 million lei turnover.

Today's market was also influenced by some rumours on a possible tax on bank assets, which the finance ministry denied.

BVB said last week that its deputy chief Alin Barbu will fill in for CEO Ludwik Sobolewski, who is awaiting an extension to his term of office.

Currently, Barbu legally represents the BVB and ensures its day-to-day management, in accordance with internal rules, BVB said.

Details follow:

BET Total Return index (BET-TR) is a free float weighted index of the 13 most traded companies listed on the regulated market and is adjusted to also reflect the dividends paid by constituent companies. 

BET-BK is a free float weighted capitalization index of the most liquid 25 companies listed on the regulated market. 

BET Plus is a free float market capitalization weighted index tracking 34 companies listed on BVB’s regulated market except the financial investment companies, that meet the minimum eligibility criteria, which refer to liquidity and the value of shares in free float.      

BET-FI tracks the SIFs and property restitution fund Fondul Proprietatea. 

BET-NG includes companies from the energy sector and utilities.

BET-XT is a blue chip index and reflects the price evolution of the most liquid 25 shares traded on the regulated market, including the SIFs. 

BET-XT-TR reflects the price performance of the top 25 most traded Romanian companies, as well as their gross dividends and cash distributions. 

ROTX tracks Romania's nine most liquid stocks. It is a joint index of the Bucharest bourse and the Vienna Stock Exchange.

(1 euro =4.5906 lei)