WIG 20 gains 1.58 percent at midday as banks lead rally

WIG 20 traded at 4,220.88 points at 1:48 p.m. CEST, with banks and KGHM lifting the index above 4,200 points.

WIG 20 traded at 4,220.88 points at 1:48 p.m. CEST on October 6, up 1.58 percent from Monday's close of 4,155.28 points, as Business Insider recorded. The index moved above 4,200 points during the session.

Banks lead the advance

Banks were the main support for the blue-chip index. Strefa Inwestorow reported gains of 3.3 percent to 3.5 percent for Erste and mBank, while Pekao, Millennium, PKO BP and Alior rose by approximately 2 percent. KGHM gained 0.8 percent, while PGE fell 2.4 percent.

XTB linked the improvement in sentiment toward banks and consumer stocks to lower implied inflation and interest-rate expectations. Its market note identified mBank, Erste Bank and Modivo among the strongest contributors, while PGE and Orlen weakened.

Next policy decision

Attention turns to Poland's Monetary Policy Council, which is scheduled to announce its interest-rate decision on Wednesday, October 7. ING economists Rafal Benecki and Adam Antoniak expect the National Bank of Poland to leave its policy rate at 3.75 percent. The index's previous session closed at 4,155.28 points, according to GPW Benchmark.

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