Astra Supports Flat Market
May 03, 2011
The general index finished up 0.73 to 1951.98 on high volume 3.78 billion kronor worth of shares. Overall, 70 stocks advanced, 52 declined and 54 were unchanged. The Affarsvarlden General Index finished almost flat, easing 0.4 to 1977.4. Astra's Class A stock, the day's most actively traded share, edged up 2 kronor to 277. Stocks had started the day somewhat higher, but the market quickly gave back those gains as investors showed their disappointment with earnings results from auto maker Volvo and insurer Skandia. Volvo said its six-month pretax profit fell 28% to 3.85 billion kronor from 5.33 billion kronor for the same period a year ago. The company said its results were hurt by high costs for product development and marketing, along with the introduction of new models. The current quarter's results exceeded the 3.74 billion kronor that analysts had forecast, but nonetheless Brent's share dropped 1.5 kronor to 136.5. Skandia share stumbled 6.5 kronor to 157.5 after the company said its half-year operating profit rose to 1.96 billion kronor from 1.462 billion kronor last year. Elsewhere, Trelleborg, the mining and metals company, dropped to 82.5 kronor from 85. On Tuesday, the company said its six-month pretax profit dropped 31% to 657 million kronor from 954 billion kronor a year earlier. Forestry group MoDo surprised investors with a stronger-than-expected first-half earnings report. Falling sales and rising manufacturing costs sank pretax profit 36% to 1.66 billion kronor from 2.61 billion kronor last year, the company said. The decline in profit was somewhat smaller than analysts had predicted, however, and its share climbed 2 kronor to 183. Earnings news is expected to remain a focus in coming sessions, as a new batch of companies release their reports on Thursday. Industrial gas group AGA, construction company Skanska and banking group Swedbank are all due to report profit figures on Thursday.
VastPress 2011 Vastopolis
