Polish stocks finished down last week, with the biggest firms suffering the most. The blue-chip WIG20 eased by more than 1.5 percent.

It was quite a volatile week, as major global bourses began trading sharply higher on Monday on the news that Osama bin Laden had been shot dead by US special forces in Pakistan. The rally was short-lived and bears took advantage to sell stocks at new highs. Some profit taking took place during the following days.

On the WSE, enthusiasm after bin Laden’s death was limited only to futures markets, which start trading 30 minutes earlier than cash markets. Major indices did not react to the news. This disappointed investors, sending stocks downwards.

Raw materials and oil companies suffered the most. Metals markets went sharply down along with crude oil markets. Metals producer KGHM and oil companies Orlen and Lotos have been the darlings of institutional investors in Poland in recent months, but those companies fell by between four and five percent.

In the case of KGHM, riots outside the company’s headquarters probably helped push its share price downwards. The company’s shares will be watched closely by investors as they wait for the firm’s earnings, which are scheduled to be released on Friday.

Telecoms performed the best, with both TP and Netia each gaining about two percent. TP disappointed with its earnings report, although investors are waiting for a dividend of zł.1.5 per share.

Tomasz Jerzyk, technical analyst at DM BZ WBK