Bucharest stock market down after first round of presidential elections as investors grapple with results
The most important 20 stocks of the Bucharest Stock Exchange were down on Monday, November 25, as investors reacted in shock to the results of the first round of the presidential elections. The voting saw the rise of lesser-known far-right candidate Călin Georgescu to first place, while candidates of the current center coalition were left behind.
The 20 stocks in the BET main index began their descent once markets opened as investors sought to minimize assets, Ziarul Financiar reported. The index fell by 1.45%, dragged down by shares in companies such as OMV Petrom (-1.2%), Banca Transilvania (-0.7%), and Hidroelectrica (-0.25%). The steepest declines were seen in TTS, Aquila, and MedLife, each dropping by 4%, while Antibiotice fell by 3%.
Trading in the main equity segment amounted to RON 13 million, exceeding the average for the first hour in recent days.
Călin Georgescu, described by Britain’s Financial Times as a pro-Russian and far-right politician, won the first round of Romania’s presidential elections, according to the electoral commission, delivering a significant blow to the country’s political establishment. Since no candidate secured more than 50% of the vote on Sunday, Georgescu will face a runoff in two weeks.
A former member of the radical nationalist AUR party, he ran as an independent and was not considered a favorite, being ignored by most surveys. Georgescu has previously questioned Romania’s membership in NATO, arguing that the country has not seen clear benefits from the alliance. He has also criticized the deployment of a missile defense system in Romania, echoing statements by Russian president Vladimir Putin.
Romania is also grappling with a large deficit, and many investors expect higher taxes in 2025.
(Photo source: Engdao Wichitpunya | Dreamstime.com)
