How do analysts see the end of the year on the Stock Exchange?

After a year start marked by stormy increases amid global
economic revival expectations and a second quarter that brought
some of the biggest corrections of recent years on the Bucharest
Stock Exchange in the wake of the Government’s tough budgetary
adjustment decisions, in July and August the market entered an
unexpectedly prolonged state of general apathy.
The value of shares transferred on the BSE reached a mere 67.3m
euros, with a lower level being registered only in the first two
months of 2009, when the quotes of the main stocks were around half
their current value.
September is likely to bring a thaw-up of transactions on the
Bucharest Stock Exchange, but its trend may not follow the
direction desired by investors, analysts say.
Internally, budgetary adjustment steps are expected to keep the
economy falling at least in the last two quarters of the year, and
political risk is in the air this autumn and could keep foreigners
away from the BSE until spring.
“(…) Foreigners’ activity may rise again at the beginning of next
year, with the listing of Fondul Proprietatea and the sale by the
state of stakes in companies it still holds shares in,” says Mihai
Mîndruțiu, an analyst with Interdealer Capital Invest.