It was a result that stood out positively against other European markets, which struggled to find a clear direction. Among the blue chips, commodity companies led the pack – PKN Orlen shares rose 2.54%, while KGHM gained 5.32%.
Accelerating copper price rises, which have already approached nearly $14,000 per ton, support KGHM shares, which are already one step away from improving the January price record. The sentiment around Polish stocks could also have been boosted by a Saturday statement from Vladimir Putin, in which the Russian president suggested that the conflict with Ukraine is nearing its end. Such developments would remove the geopolitical discount from Polish blue chips, which we estimate at about 15%, but this is not our baseline scenario.
A side effect of the ongoing conflict in the Middle East is the strengthening of Russia’s position, which hampers potential cease‑fire talks this year. Meanwhile, Wall Street’s positive sentiment still keeps investors engaged.
16 records this year on US indices
On Monday, key U.S. indices set their 16th record high of the year. The S&P 500 rose 0.19%, marking its first time above 7,400 points, while the Nasdaq gained 0.29%. Despite the tense U.S.–Iran situation, the U.S. equity market remains resilient to messages from the White House.
The Iran cease‑fire is currently "artificially kept alive"
President Donald Trump stated in one of yesterday’s remarks that the cease‑fire with Iran is currently "artificially kept alive". Today’s focus will be on the U.S. CPI inflation data for April. Forecasts suggest that overseas price growth accelerated to 3.7% YoY from 3.3% in March.
The markets are also slowly preparing for the long‑awaited meeting between Donald Trump and Xi Jinping in China (Thursday–Friday). Investors are hopeful for decisions on the trade relations between the two powers. The event’s significance is further heightened by the Iran conflict and Beijing’s strong voice, which officially remains an ally of Tehran.
At the time of writing, sentiment in Asian markets remains mixed. The Hang Seng gains symbolically 0.3%, while the Nikkei rises about 0.6%. After a spectacular rally, a correction finally reached the Korean equity market, where the KOSPI fell over 2%. Futures contracts on key European indices suggest an opening below the threshold
