Significant Dip in Profits Yields Continued Growth in ATX, Remaining 4.3% Higher
The European leading stock exchanges experienced a recovery rally this week, following a partial concession by US President Donald Trump in the international trade conflict.
In Vienna, the ATX index rose by 4.36% to 3,759.28 points on Thursday afternoon. The rapid upward surge was not limited to specific industries, with many companies seeing significant gains.
UBM, a prominent Austrian company, reported a 50% increase in total performance to 424.9 million euros, and a 25% increase in turnover to 106 million euros. The company's shares increased by 2.3 percent. The analysts at Erste Group have confirmed the provisionally presented numbers by UBM.
The US President's announcement to postpone certain tariffs for some countries led to a stock market rally in the USA on Wednesday. However, Trump also announced that he would increase the tariff rate for goods imported from China from 104 to 125%. A basic tariff rate of 10% remains in force for almost all imports into the USA.
The shares of UBM, which recorded a loss of 23.2 million euros in the past year, have reduced the deficit before taxes by 40 percent compared to 2023. Other Austrian companies such as Palfinger, Wienerberger, Mayr-Melnhof, and Schoeller-Bleckmann also saw significant gains.
The technology sector also benefited from the rally, with AT&S gaining 3.7 percent. The shares of DO&CO rose the most in the prime market segment with a plus of 8.9 percent. Other financial institutions like BAWAG, CA Immobilien, Erste Group, FACC, and Rosenbauer also recorded more than 6% increases in share prices.
The shareholders of Raiffeisen Bank International could book a price increase of 5.3 percent. Rents in Vienna continue to rise significantly above the inflation rate, exacerbating the tense housing market situation due to a decline in completions.
The Greens are opposing a guide planned by the FPÖ national council president to ban gendering. The exact reason for the ATX's current gain being less than its previous daily high is not specified in the text.
Initially, the ATX had increased by almost 9% in morning trading. The recovery rally in European stock exchanges is due in part to US President Donald Trump's yielding in the international trade conflict on Wednesday evening.
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