OTP Bank Nyrt. (OTP), Hungary’s largest lender, fell the most in more than two months as concern that global stimulus measures won’t be able to revive economic growth reduced appetite for riskier assets.
The shares declined 3.1 percent to 3,800 forint by the close in Budapest, the biggest slide since July 23. The benchmark BUX stock index, in which OTP has a 29 percent weighting, slumped 1.4 percent.
Federal Reserve Bank of Philadelphia President Charles Plosser yesterday said more bond purchases by the U.S. central bank probably won’t boost growth and may jeopardize its credibility. Hungary’s gross domestic product will expand 0.7 percent next year versus a 0.8 percent projection published in June, the central bank said yesterday. This year’s GDP will decline 1.4 percent, compared with a 0.8 percent fall seen earlier, the bank said.
“Sentiment was spoilt by the comments from one of the Fed presidents who said the new asset purchases didn’t make much sense,” Gergely Gabler, a Budapest-based analyst at broker Equilor Befektetesi Zrt., wrote in an e-mailed report today.
The MSCI Emerging Markets Index slumped 1.3 percent, retreating for a third day to the lowest since Sept. 13, according to data compiled by Bloomberg.
Daniel Gyuris, a deputy chief executive officer at OTP, sold 14,705 shares at an average price of 3,900 forint, OTP said in a statement to the Budapest Stock Exchange today.
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