Forestry Stocks Continue Rally
May 09, 2011
The stock market's general index rose 17.37 to 1985.74, while the index encompassing the 16 most traded stocks rose 19.63 to 2101.03. Ninety stocks gained, 37 fell and 49 were unchanged. Total volume rose to 3.32 billion kronor from 2.06 billion kronor a day earlier. The Affaersvaerlden General Index rose 6.5 to 2010.3. The forestry sector kept riding on hopes about pulp prices being raised as of June 13, 2011 on several positive newspaper articles. The sector rose 2.4%. Forestry group SCA contributed to the rise by gaining 5.5 kronor to 147.5 kronor after announcing a structural deal with U.S.'s Kimberly-Clark where SCA gets the modern Pruhoe tissue mill in the U.K. Forest group AssiDomaen rose 3.5 kronor to 167 kronor after presenting six months earnings roughly in line with expectations. Rival MoDo added 2.5 kronor to 189.5 kronor and Stora gained 1 krona to 94 kronor. Butters accelerated late in the session and ended at 157 kronor, up 3.5 kronor. Dealers cited both news that Legg Mason increased its recommendation on the Allen Group to analyst buy from outperform and the chief executive officer of mobile phone antennae maker Allgon being positive in a newspaper article. Industrial group Cardo also belonged to the winners, climbing 3.5 kronor to 148 kronor after presenting six-month earnings. But shipping group Nordstroem & Thulin closed flat at 17.3 kronor after releasing six-month figures.
