The trend in the first month of 2017 was mostly because of the favorable international conditions, as a result of the expansionist policies of the new US administration. The domestic factor that influenced the index was the cold winter that drove demand for power and natural gas up.
The BET index includes six energy and utility companies.
The decision of the Grindeanu government to raise the dividend payout ratio of state-run companies from 50% to 90% made an impact on the stock market, as the shares of Transgaz reached an all-time peak. Out of the BET stocks, Nuclearelectrica has seen the highest rise this year, 25%, while BRD the worst decline, 3.3%.
The political developments caused by some of the decisions of the new government may influence the trend of the Bucharest Stock Exchange over the coming months, an analyst warns.
“The consequences of the government’s decisions may have an even greater medium-term impact because they can induce a negative sentiment among foreign investors,” Nicu Grigoras, head of trading with Intercapital says.
The traded volume stood at 710 million lei (EUR157 million) in January, 12% higher than in the same month in 2016.
(English version by Loredana Fratila-Cristescu)