Hellenic Petroleum

Greater cooperation the energy sector appears to have topped the agenda of contacts in Athens this week by the prime minister of North Macedonia, Zoran Zaev.

According to reports, a meeting with the management of Hellenic Petroleum (Hel.Pe) focused on resuming operation of a fuel pipeline that connects the Greek petrochemical group's refinery in Thessaloniki with Skopje.

A mixed Wednesday on the Greek bourse saw gainers edge out the losers and provided the benchmark with just enough fuel to climb back above the 800-point level, thanks mainly to the growth of bank stocks for the second day in a row.

The impressive rebound by bank stocks led the benchmark at Athinon Avenue back up to within sniffing distance of 800 points, and the risers outnumbered the losers by almost three to one. After three days of decline, it was considered about time for this market recovery, as there is no obvious reason for stocks to head lower at this point.

The benchmark of the Greek stock market narrowly managed to avoid dropping below the 800-point mark on Monday as investors indulged in profit taking following the recent gains enjoyed by most stocks. All but two blue chips suffered losses, led by banks, in line with most other European markets.

The Greek stock market picked up the pace again on Thursday, with the benchmark gaining ground on increased turnover, although banks tipped the balance between winners and losers in favor of those that headed lower. Energy stocks are showing notable resilience, which in the view of investors points to a positive outlook for the economy in general.

Athinon Avenue eased off Monday's 11-month highs on Tuesday, with the benchmark dropping just over 1% on lower trading volume than on Monday. Banks headed south, but energy stocks mostly headed higher again. Observers consider this cashing in of recent gains quite predictable.

The Greek bourse hit the ground running on the first trading day of 2021 on Monday, with prices growing as the session progressed and the closing auctions taking the benchmark above 820 points for the first time in almost 11 months. This time it was mainly energy stocks and other non-bank blue chips that led the index higher.

Athinon Avenue had another mixed session on Wednesday, with the benchmark closing virtually unchanged, while mid- and small-caps improved their end-of-year picture, with gainers outnumbering losers by a ratio of almost three-to-one overall.

The Brussels-London agreement over a trade deal and the start of the vaccination process gave the Greek stock market another boost too on Monday, with the benchmark easily clearing the 800-point bar to reach highs unseen in 10 months. As the year draws to a close, the losses observed in 2020 are gradually being reclaimed.

Greek stocks recovered somewhat on Tuesday from Monday's slump due to the UK's troubles with the mutation of the coronavirus and the impasse in the Brexit talks, as the benchmark climbed back up to 780 points. However, the level of trading volume indicated that the minds of many were already occupied with the holidays.