Czech Stock Index Reverses Gains as Erste, Komercni Banka Drop

The Czech equity index reversed earlier gains, led lower by Erste Group Bank AG (RBAG) and Komercni Banka AS (KOMB), after the newspaper Expansion reported that Spain may apply for rescue loans to finance restructuring of its banks.

The PX (PX) gauge of companies dropped 0.4 percent to 930.2 by 9:55 a.m. in Prague, after increasing as much as 0.5 percent earlier today. Austria’s Erste and Komercni, a unit of Societe Generale SA (GLE), have a combined 35 percent weighting in the index.

To contact the reporter on this story: Krystof Chamonikolas in Prague at kchamonikola@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

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