At the beginning of the new week, the main indices on the WSE were in the starting blocks. The cosmetic changes reflected the mood in the core markets, where markets are holding their breath before Wednesday's decision on US interest rates. On the broad Polish market, the price of the former star from the times of the pandemic stood out, rebounding from the bottom after being depreciated from the Covid peak by almost 95%.
This week, markets are waiting for the Fed's decision and forecasts. FOMC will issue a statement on interest rates. on Wednesday at 8 p.m., and half an hour later, Fed President Jerome Powell will present the justification for the decision. According to most analysts, the Federal Reserve will reduce the base interest rate by 25 basis points to support the US labor market. On Monday, investors refrained from any significant movements on the stock markets. In Europe, the DAX fell by 0.1%. CAC40 was down by 0.2%. EuroStoxx lost 0.1 percent. Similarly, at the end of trading in Warsaw, the Nasdaq lost and the S&P500 lost slightly more (-0.3%).
WIG20 ended the session 0 0.13 percent. higher. In turn, WIG fell by 0.05%. The mWIG40 (0.19%) and sWIG80 (-0.19%) also saw a cosmetic change. Little activity was also visible in the turnover, which was estimated at PLN 1.42 billion on the broad market, of which PLN 1.16 billion related to WIG20.
In terms of sectors, WIG-gry (1.34%) and WIG-Informatyka (1.29%) rose the most on the WSE. Banks (0.94%) and medicines (0.77%) also recorded positive results. The largest declines were recorded by WIG-energia (-1.83%). Perhaps this is the result of a symbolic change in the valuation of companies in the sector presented by DM BOŚ. The price of Tauron was reduced from PLN 12 to PLN 10.50. For PGE, the valuation dropped from PLN 16.50 to PLN 11. Enea's exchange rate was set at PLN 18 from PLN 21 previously. There is no doubt that the sector, which was the strongest for the vast majority of the year, has been losing significantly since we started talking about changes in distribution tariffs.
In turn, the better sentiment towards banks could result from the fact that Citi analyst Andrzej Powierz raised his recommendation for PKO BP (0.7%), Bank Pekao (-1.36%), Bank Millennium (3.44%) and Alior Bank (0.78%) to “buy” from “neutral”.
While considering the recommendations, a report by BM Pekao analysts appeared on the market, and on December 3, they maintained their “buy” recommendation for KGHM Polska Miedź, setting a 12-month target price for the company's shares at PLN 287.7 compared to PLN 182.3 previously. The KGHM price (-0.26%) remained close to records at closing, and during the day it set a daily peak of PLN 239.30.
Apart from PGE, the weakest shares in WIG20 were CCC shares (-2.42%). In total, shares of 10 companies were in decline. LPP (-1.42%), Pepco (-1.36%), Żabka (-1.25%) also lost, and Allegro, Dino, Kęty and mBank lost no more than 1%. The prices of Orlen, Orange and Budimex remained neutral. The largest increases concerned Kruk (3.18%) and CD Projekt.
On the broad market, the greatest attention was drawn to the increase in the price of Mabion (14.31%), whose share price at the beginning of December reached the lowest level in history (PLN 6.95). In March 2021, during the Covid bull market, the price was quoted as high as PLN 126, which means that the depreciation reduced the share price by approximately 95%. until December this year. There was no new information from the company on Monday. Last week, Mabion presented a new strategy for 2025–2030, assuming the company's development in the biological medicines and contract drug manufacturing (CDMO) sector. So far, investors seem to give the company another loan of trust, unless the price increases are a typical reflection of the so-called a dead cat, which often appears on company stock exchange prices at a discount of 80-90%.
