SIF quotations up 13.3 percent in two days

Financial investment companies (SIF) quotations rose a staggering 8.5 percent yesterday on the Bucharest Stock Exchange (BVB) taking investors by surprise.

For SIF stock holders, this was the best day after January 3, 2007, when the index of the five listed financial investment companies, BET-FI, rose 8.6 percent.

This significant increase led to a total 13.3 percent rise in SIF quotations in two days, covering for all losses registered in August. In only two days, investors earned more from SIF stock than the average interest for a 12-month bank deposit (between 8 percent and 11.5 percent).

"There were two days with spectacular growth. If we manage to have several days with volume similar to yesterday's, we can say that foreign [investors] came back. I think that those who made buildups in August were waiting for a signal to buy significantly," said the Trading Manager of EFG Eurobank Securities, Laurentiu Floroiu. He added news regarding record economic growth, amounting to 8.8 percent in the first half of 2007, added to the SIF quotations rise.

However, brokers say it is not likely that BVB registers similar growth in the following days.

Business Standard