Community News

Wednesday, March 10, 2010

Ukraine Stocks Rally for 7th Day to Highest Since June 2008

March 10, 2010, 6:41 AM EST

By Daryna Krasnolutska

March 10 (Bloomberg) -- Ukrainian shares rallied for a seventh day, pushing the benchmark PFTS Index to its highest level since June 2008, as Viktor Yanukovych moves toward forming a government after winning last month’s election.

The PFTS index added 3.1 percent, extending its longest winning streak since November.

Shares are rising as Yanukovych builds a parliamentary coalition after his party ousted Prime Minister Yulia Tymoshenko last week. Yanukovych offered Serhiy Tigipko, who came third in the January presidential election, the post of deputy prime minister, according to a statement today on the president’s Web site. The International Monetary Fund has frozen its $16.4 billion loan program since November, waiting on the government to pass a budget for 2010 and reduce spending.

“Now there’s a chance for the country to have a president, prime minister and parliament that speak a common language,” said Dmytro Tarabakin, managing director of Dragon Capital, the largest investment bank in Kiev. “The government will be able to function, which is what Ukraine has been lacking for a long time.”

--Editor: Gavin Serkin

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