Stocks ended higher during the last trading session of the week at the Athens Stock Exchange, completing an eight-week rally which brought the market near the 790-point resistance level. Investor sentiment remained bullish that the Greek government will successfully complete negotiations with the troika over a new package of austerity measures.
The composite index rose 1.58 pct to end at 775.78 points, off the day’s highs of 790.71 points. The index ended the week with net gains of 4.41 pct, rising 14.01 pct from the start of the year. Turnover remained a strong 80.524 million euros.
The Big Cap index rose 2.34 pct and the Mid Cap index ended 4.0 pct higher. The Health (8.17 pct), Construction (5.97 pct) and Raw Materials (4.37 pct) were top gainers, while Travel (1.0 pct), Technology (0.95 pct) and Oil (0.43 pct) suffered losses.
Motor Oil (7.91 pct), Metka (7.85 pct) and Eurobank (6.67 pct) were top gainers among blue chip stocks, while Hellenic Petroleum (4.83 pct), Viohalco (3.79 pct) and OPAP (2.33 pct) were top losers. Broadly, advancers led decliners by 111 to 49 with another 20 issues unchanged. Logismos (30 pct), HOL (19.69 pct) and Nikas (19.6 pct) were top gainers, while AAA (20 pct), Nutriart (20 pct) and Geniki (19.95 pct) were top losers.
Sector indices ended as follows:
Oil & Gas: -0.43%
Personal & Household: +3.48%
Raw Materials: +4.37%
Travel & Leisure: -1.00%
Food & Beverages: -0.32%
Financial Services: +3.34%
The stocks with the highest turnover were OTE, OPAP, National Bank and Alpha Bank.
Selected shares from the FTSE/ASE-20 index closed in euros as follows:
Alpha Bank: 1.70
Public Power Corp (PPC): 4.22
HBC Coca Cola: 14.95
Hellenic Petroleum: 6.90
National Bank of Greece: 1.98
EFG Eurobank Ergasias: 1.12
Bank of Piraeus: 0.40
ADEX closing report
The December contract on the FTSE 20 was trading at a premium of 0.92 pct on its debut in the Athens Derivatives Exchange on Friday, with turnover remaining a strong 39.423 million euros. Volume on the Big Cap index totaled 13,367 contracts worth 19.066 million euros, with 31,585 open positions in the market. Volume in futures contracts on equities totaled 128,689 contracts worth 20,417 million euros, with investment interest focusing on GEK’s contracts (32,848), followed by National Bank (25,622), Alpha Bank (13,074), Cyprus Bank (11,042), MIG (5,347), OTE (4,962), PPC (3,182), OPAP (5,531), Piraeus Bank (17,463), Cyprus Popular Bank (2,608), Eurobank (2,246) and Intralot (1,542).
Greek bond market closing
The yield spread between the 10-year Greek and German benchmark bonds fell significantly to 18.67 pct in the domestic electronic secondary bond market on Friday, from 19.26 pct on Thursday, with the Greek bond yielding 20.26 pct and the German Bund 1.59 pct. Turnover totaled 12 million euros, all buy orders.
In interbank markets, interest rates continued moving lower. The 12-month rate was 0.71 pct, the six-month rate eased to 0.45 pct, the three-month rate fell to 0.22 pct and the one-month rate was 0.11 pct.
U.S. dollar 1.318
Pound sterling 0.810
Danish kroner 7.566
Swedish kroner 8.623
Japanese yen 103.1
Swiss franc 1.229
Norwegian kroner 7.532
Canadian dollar 1.284
Australian dollar 1.255
**** Greece’s state budget deficit totaled 12.482 billion euros in the January-August period, while the primary deficit totaled 1.412 billion euros over the same period, the Finance ministry said on Friday.
A report, on budget execution in the first eight months of the year, showed that the deficit was much smaller than original budget targets (15.214 billion euros), while primary deficit was even less from a budget target for a shortfall of 4.202 billion euros. The budget deficit was down 33.1 pct compared with the same period in 2011, while the budget showed a primary surplus of 733 million euros in August.
Net budget revenues totaled 33.103 billion euros, down from 35.158 billion euros of the budget target, in the January-August period, but up 1.6 pct compared with the same period last year. The ministry attributed this deviation to a significant increase in personal income tax revenues.
The Public Investment Programme’s revenues totaled 2.463 billion euros in the eight-month period, down from a budget target of 3.039 billion, reflecting delays in community payments. Budget spending totaled 45.586 billion euros, down from a budget target of 50.372 billion, reflecting cutbacks in regular budget spending and cuts in a Public Investment Programme.
Regular budget spending fell mainly because of lower primary spending, lower defense spending and lower repayment of state guarantees. Capital spending rose slightly to 11.070 billion euros, from a budget target of 11.012 billion. Overall, budget spending fell by 11 pct in the January-August period, compared with the same period last year.
*** Greece’s export performance index almost doubled in the first six months of 2012 compared with the same periods in 2009 and 2010, although the country remained at the bottom of the EU-27 list which reflects exports as a percentage of GDP.
The country’s export performance index rose to 12.4 pct, from 6.5 pct and 6.7 pct of GDP in 2009 and 2010, respectively, but sharply down from 35.6 pct of the European average index, data released by the Federation of Northern Greece Exporters showed. The report attributed this significant increase in export performance –over the last two years- to higher export value and a shrinking GDP.
Greece, along with other European southern countries facing severe fiscal problems (Spain, Italy and Portugal) occupy the bottom places of the export performance list in Europe, highlighting the impact of exports on the prosperity and growth of each national economy. Imports of foreign goods to Greece fell by 11 pct, or 2.7 billion euros, from 2009 until the first half of 2012, the biggest decline in the EU-27.
On the other hand, Greek exports recorded the biggest percentage increase in the EU in the first six months of the year (including oil products). Exports grew by 15 pct, sharply up compared with a 3.7 pct increase in EU-27 exports and a 4.1 pct rise in Eurozone exports.
**** Turnover in the domestic industrial sector fell significantly in July this year, Hellenic Statistical Authority announced on Wednesday. The statistics service, in a report, said the turnover composite index in the industrial sector (measuring both the domestic and external markets) fell 7.3 pct in July, after an increase of 20.4 pct recorded in July last year.
The statistics service attributed the 7.3 pct decline to a 35.4 pct drop in mining turnover and a 6.8 pct fall in manufacturing turnover. The domestic turnover index fell by 7.0 pct and the external market index dropped by 8.0 pct.
The outlook for industrial production in the country remains grim as new orders fell significantly in June. Hellenic Statistical Authority said that the new orders composite index dropped 12.8 pct in July, after an 8.2 pct increase recorded in July 2011. The decline reflects a 14.8 pct drop in the domestic market index and an 11.9 pct fall in the external market index.
**** Building materials’ prices rose 0.6 pct in August this year, despite the fact that building activity remained idle, Hellenic Statistical Authority announced on Friday.
The statistics service, in a monthly report, attributed this increase to a 16.3-pct rise in electricity energy, an 11.3-pct increase in diesel oil, plastic/synthetic pipes (6.9 pct), switches (6.8 pct), brick (2.1 pct) and marble (1.6 pct). On the other hand, prices fell in windows (3.3 pct), safety doors (2.1 pct) and lifts (1.9 pct).
The new home building materials’ price composite index rose 0.6 pct in August compared with the same month last year, but fell 0.1 pct compared with July 2012.
**** A new tax framework in the country will be based on five axes, a Greek Finance ministry official said on Thursday. Speaking to AMNA, the official said that these axes will be:
-self-employed and personal enterprises will be taxed with a reduced corporate tax,
-all business activity will be taxed according to book data,
-introducing a new tax scale with less scales,
-lowering tax rates on incomes from labor and business activity and
-cross-checking actions to combat tax-evasion.