Market comment

Обзоры рынка 07.08.2013 Ukrainian equities joined in the global sell-off on Tuesday, August 6 that was triggered by Federal Reserve expectations of more QE tapering. The WIG Ukraine Index of Warsaw-traded stocks dropped 0.1%, pulled down by Coal Energy (CLE PW -7.0%), which has fallen 13.4% in three straight declining sessions. Another weight on the Index was KDM Shipping (KDM -4.1%), which reported disappointing earnings. Beyond the Index, traders kept dumping their shares of Serinus Energy (SEN PW -2.7%), which has lost 8.8% in three straight losing sessions. Yet the biggest weight was grain trader Kernel (KER PW -1.1%), which has otherwise risen 4.6% this month. In London, iron ore miner Ferrexpo (FXPO LN –6.5%) was hit particularly hard by the tapering comments, as well as all mining stocks. Other decliners were real estate firm DUPD (DUPD LN -3.7%) and Cadogan Petroleum (CAD LN -3.1%). The Ukrainian Exchange (UX) Index of Kyiv-traded stocks rose 0.5%, led by power generator Donbasenergo (DOEN UK +1.3%).