Bourse enters correction phase, brokers say long-term trend positive

The main stocks listed on the Bucharest Stock Exchange registered corrections of as much as 10% from the highs reached in late March and early April, but brokers do not see a return of the positive trend of recent months.

Nevertheless, domestic brokers do not believe steep declines are possible on the Bourse in the following period, though they reckon the next few months will be more difficult because of the high market volatility. For the second half of the year they expect, however, for the upward trend to be resumed, judging by the reports domestic and foreign banks’ analysts have issued lately. The analysts are counting on a rebound of the Romanian economy and seeing a high growth potential particularly for banks and SIFs.