This is the following day since the middle of the last year when the indexes reached their maximum. The WIG20 ended up with 0,5 percent up and reached 2550 points.
Shares of PZU were of big interest and became 1,59 percent more expensive and cost up to 427 per share in the end of the day.
This is the highest rate in company’s history. Those investors who possess shares of the biggest Polish insurance company gained 46 percent since the beginning of the year.
What causes the growth? PZU had good financial results this year. During the third quarter the net profit grew up to 1,12 billions of PLN, mainly thanks to growing share prices at Warsaw exchange Stock and good valuation of the bonds.
PZU had three times bigger profits than a year ago. How?
In his blog, Sebastian Buczek wrote: “That was a difficult year for the investors. We started in a bad mood after the drop-off in September, 2011, and of course the first months did not please us much”. In addition he says that quite to the contrary the situation was in June, when Mario Draghi, the chief of EBC, took the initiative and the investors became more positive about the future of the euro area. Result? Since the beginning of the year, the WIG index, which covers shares of most registered companies at GPW, grew in one fourth.
Buczek summarizes: “From today’s perspective, it can even be said that what last year seemed to be a long term drop-off, was not indeed a drop-off, but rather an immensely strong correction, and to tell you the truth, what we can observe on the share markets sine more than 3,5 years is a long term growth.”
German daily newspapers report that it started to cloud over Polish economy, which had recently begun to shrink. They compare today’s recession with the crisis of 2009 and claim that the situation today is even worse than it was. According to today’s German daily newspaper Handelsblatt – the country, thought to be the economy engine, does not produce anymore steam. Poland, being the only European Union county which was not affected by the world crisis in 2009, is apparently losing the economy burst. According to the data from Central Statistical Office – the GDP of the third quarter of this year increased in no more that 0,4 percent in comparison to the previous quarter. It was not so bad even in critical 2009 – during the world economy crisis. During the downturn, when all EU countries were in recession, Polish GDP increased in 1,7 percent. The daily reports that according to the Central Statistical Office the situation is getting even worse due to significant reduction in domestic demand that used to be a driving factor for economic growth in Poland, which rate was immensely higher than the average one in EU. In the meantime, according to media reports, the majority of Poles are afraid of upcoming crisis , save up and drastically cut expenditures. As stated in an article published in Financial Times Deutschland, the fact that quantity of foreign orders and employment increased in comparison with the previous month – will not have a notable impact on the existing situation.
According to the Portuguese weekly newspaper Expresso - Poland is a gate for investors from Portugal, who are planing to invest in Ukraine, Lithuania, Belarus and Russia.
The newspaper notes that Polish economy has achieved immensly good results. The average growth of GDP in Poland between 2003 and 2008 was 5.2% annually. Meanwhile, in 2009 Poland was the only country which avoided recession.
It is also mentioned that the values of Portuguese Investments in Poland are systematically growing. The newspaper reports that the values of the investments between 2007 and 2011 continued to grow and increased to 721 millions of euro.
Slawomikr Nowak, the Minister of Transport, Construction and Maritime Economy, declared that a trip from Wroclaw to Warsaw in 2014 will take 3,5 hours. This means that a journey from the capital to Czestochowa will take 2 hours, which is more than one hour faster than it is today. The trip duration from Gdynia to Warsaw will also be reduced. About 1 billion PLN will be spent for renovation and revitalization of train stations.