REUTERS
The UX Index of the Ukrainian Exchange, one of Ukraine's largest stock exchanges, dropped by 4.48% on Tuesday, November 17, compared with the previous day's closing value of 685.58 points, the lowest value in the five past years, according to the Ukrainian Exchange's website.
Serhiy Fursa, the expert on debt securities sales at Dragon Capital, attributes the decline in the index to the prevalence of supply over demand.
"There are more sellers than buyers," he said.
In addition, according to Fursa, small trading volumes on the stock exchange enable even medium-sized sellers of securities to exert a negative impact on the index when locking in gains.
In turn, Mykhailo Suschek, the deputy operating officer at the Univer investment group, believes that this negative trend will continue in the near future due to the worsening of the situation in the east of Ukraine.
"Unfortunately, the dynamics of the trend are evident. Even positive news about the purchase of shares of the Ukrainian Exchange has not had any impact, while the aggravation [of the situation] in Donbas has a much stronger influence," Suschek said.
As UNIAN reported earlier, the Ukrainian Exchange index dropped by 3.53% to 765.17 points on November 2-6.
The combined trading volume on the Ukrainian Exchange more than halved during the reporting period, amounting to UAH 67.6 million, while the total number of transactions decreased by 15.23% to 2,895.
As UNIAN reported earlier, the Univer investment group on November 16 signed an agreement with the Moscow Exchange, which will sell a 23% stake in the Ukrainian Exchange to the group.