EAVEX Weekly

November 18, 2019

Ukrainian stocks were broadly lower last week despite encouraging macroeconomic statistics indicating that the country’s GDP rose by a solid 4.2% YoY in 3Q19. The growth notably exceeds the latest expectations for 3.7% YoY expansion in the quarter. Heavyweight blue chip CentrEnergo (CEEN) was the major drag on the gauge, falling by 7.3% to UAH 9.20 after the company lost a court case against one of its coal suppliers an now is facing penalties of UAH 740mn (USD 30mn). DonbasEnergo (DOEN) was also in the red, with the stock dropping by 3.6% to UAH 24.00. UkrNafta (UNAF) remained almost flat at UAH 146 per share, while Raiffeisen Bank Aval (BAVL) shed 1.5% to 30.30 kopecks amid a scandal regarding the arrest of CEO Olexander Pisaruk, who has been accused of corrupt activity during his tenure as deputy head of the National Bank in 2014-2016.