The decision of Donald Trump strikes with a ricochet on the rating of the leading state company
On Thursday at noon, the majority of companies listed in the WIG20 index lost their value. There were only four companies in the plus (and very small): Budimex LPP, Pekao and Pepco. The entire index, despite the opening in the plus, was sliding by 0.9 percent, to 2955 points
KGHM's quotations went down the most. In the morning at some point the exchange rate dropped by almost 4.5 percent, to PLN 127.4 per item. Before 10.00 it seemed that the quotations were heading towards closing from Wednesday, but before noon they moved south again, around PLN 128.
It is probably a reaction to events from overseas. On Wednesday, it turned out that On Friday, August 1, the US will impose a 50 % duties on copper imports. US President Donald Trump excluded key products from them, including refined metalsconstituting the basis of the international supply chain.
This unexpected movement of Donald Trump caused a record drop in copper prices in the USA And he disappointed investors who sought to achieve great profits, hurrying with the sale of copper to the United States before entering the life of tariffs to this metal.
On Wednesday, Comex in New York fell by about 23 percent, which was one of the largest daily discounts in history. However, copper in three-month deliveries on the London LME Stock Exchange is valued below by only 0.7 percent, and this is a key meter for KGHM's business. On the SHF metal exchange in Shanghai, copper lost 0.8 percent.
The KGHM course has been growing with breaks for over three months. From April 10 to July 30, the company's shares were about 25 percent, while the company's exchange rate has almost not changed over the seven previous sessions. From the beginning of the year, KGHM has gained only 11.6 percent. Compared to 34.5 percent WIG20 index growth.
See also: Copper price shot after Donald Trump's decision. KGHM quotations react
